The Near Protocol price surged this week after Bitwise filed for the spot ETF. It soared to a high of $2.60, up by almost 50% from its lowest level in April, and is hovering at its highest level since March 19. This article explores the top three reasons why the NEAR price will keep rising.
Near Protocol Transactions are Soaring
The first important reason why the Near Protocol price may keep rising is that it is one of the most active blockchains in the crypto industry. Nansen data shows that the network handled over 40 million transactions in the last seven days, a 12% increase from a week earlier. This made it the fourth most active chain in the crypto market after Solana, Tron, and Base.
The transactions on Near Protocol jumped to over 186 million in the last 30 days. In contrast, Ethereum handled 36 million transactions in the same period. Stellar handled 74.6 million, while BNB Chain processed 139 million.
More data shows that the amount of stablecoins in the Near Protocol is rising and now stands at over $715.00 million. This is a sign that the network is seeing more traction among users.
$NEAR Staking Inflows are Rising
The other main reason why the Near Protocol price may keep rising is that more investors are staking the token. StakingRewards data shows that inflows in the last 30 days jumped by 44 million coins, worth $114 million. These inflows brought the staking market cap to over $1.56 billion and the staking ratio to 47.9%.
An increase in staking assets signals more demand for the coin. In most cases, staking investors hold their coins for a while so that they can attract more monthly returns.
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Near Crypto Price Technical Analysis
The other top reason why the NEAR price may keep rising is technicals. The daily chart shows that the token bottomed at $1.8190 in April and has bounced back to $2.70 today. It has formed an inverse head and shoulders pattern, a popular bullish reversal pattern.
The Near crypto price has moved above the 50-day moving average, while the Percentage Price Oscillator (PPO) has crossed the zero line and pointed upwards.
Therefore, the token will likely keep rising as bulls target the key resistance at $3.50, a level last seen in November of last year. This price coincides with the 23.6% Fibonacci Retracement level and is 30% above the current level.
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