- The NEAR price has risen by more than 57% from the lowest level this year.
- It has remained above the 200-day EMA as the ecosystem growth continues.
The NEAR price has rebounded sharply in the past few days as demand for altcoins has jumped. The token’s price is trading at $11.50, which is about 57% above the lowest level in February this year. As a result, its total market capitalization has jumped to $7.44 billion, making it the 22nd biggest cryptocurrency in the world.
NEAR rebounds
Near Protocol is a fast-growing platform that seeks to become a better alternative to Ethereum. As a third-generation platform, it solves some of the toughest challenges faced by Ethereum. For example, its carbon footprint is minute compared to Ethereum because of its proof-of-stake approach.
Near Protocol is evolving. In November 2021, the developers launched the Nightshade Sharding rollout, which will make the network faster and more reliable. They have already launched phase zero of this rollout and are working on the next upgrades.
There are three main reasons why the NEAR price has bounced back in the past few days. First, the ongoing sanctions against Russia have made the case for a decentralized world where a few countries have too much power.
Second, there have been an increased demand for cryptocurrencies from Russia and other countries. Most of this demand has been in stablecoins like Terra USD, Tether, and USD Coin. Bitcoin and Ethereum have also seen strong interest. In most cases, altcoins like Near tend to jump when the major currencies do well.
Third, the Near ecosystem is growing well. According to DeFi Llama, the total value locked (TVL) in the ecosystem has been in a bullish trend in the past few days. It now has a TVL of $644 million, making it the 17th biggest smart contract platform in the world. The biggest apps in its ecosystem are Ref Finance, Meta Pool, and Oin Finance.
NEAR price prediction
The daily chart shows that the NEAR price has done well in the past few days. It has risen by more than 57% from its YTD low. At the same time, it has moved above the 200-day and 50-day moving averages, which is a sign that bulls are in control. The Stochastic oscillator has also jumped above the overbought level.
Therefore, there is a likelihood that the NEAR price will keep rising in the near term as bulls target the next key resistance level at $14. This view will be invalidated if the price moves below the support at $10, which is the 200-day MA level.
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