The bullish reversal from the support trendline in the triangle pattern rises above the 50-day EMA to test the 100-day EMA. the gaining bullish trend momentum may shortly drive the NEAR prices above the resistance trendline. So, should you consider taking an early bullish position before the breakout?
Source - TradingView
The NEAR prices show a bull run of 30% after taking support at the ascending trendline resulting in the 50-day EMA breakout. However, the prices struggle to reach the resistance trendline due to the increased selling at the 100-day EMA.
The bull run comes with a boom in the trading volumes support reflects an improvement in the underlying sentiments. However, the increased selling at the 100-day EMA results in a 2.40% drop in the daily candle, teasing a short-retracement.
However, the lack of volume support for the retracement increases the possibility of a lower price rejection that may restart the prevailing trend shortly.
As per the NEAR technical analysis, the triangle breakout will provide a great entry opportunity, showing a 50% jump potential to $7.37.
Conversely, a bearish turnaround will drop the NEAR prices to the support trendline below the 50-day EMA at $4.
The RSI slope shows a slight dip in the nearly overbought zone after a huge spike last week, reflecting a rest period in the uptrend before the momentum refreshes. The fast and slow lines also sustain above the zero line, supported by the expanding bullish histograms, teasing a bullish breakout. As a result, the indicators continue to signal a buying opportunity for the NEAR token.
Resistance Levels - $5.6 and $7.37
Support Levels - $4.72 and $4