NEAR PROTOCOL Price Prediction: Will go back to $2.7 soon?

• NEAR/USDT is up 14.5% from its recent swing low
• NEAR/USDT is 35% below the daily 200 EMA

NEAR PROTOCOL is trading at $1.33. The price is up by 1.94% in the last 24H. The 24H trading volume saw a jump of 44%. The Total Market Cap is $1,229,014,347. 

NEAR PROTOCOL has been struggling with sliding prices for the past 6 months. The descent started in the month of February with a failed attempt to break the resistance of $2.77. NEAR has lost 56% of its value in the last 5 months. The price appears to be bouncing from $1.23. This is very crucial Support for this digital asset.

The Price is traveling in a descending channel.

The Daily chart shows NEAR is traveling in a descending channel on its way down. This channel unlocks the key for a reversal. A successful breakout of this channel will be a ticket to a bullish rally of almost 70%. The Bulls are getting ready as the prices close in at the upper trendline of the channel.

The Daily trend remains bearish as the price is below the 200 EMA. The Price of $1.28 is crucial support. If the Bulls fail to defend it, the market will witness a bloodbath where the prices can plunge down almost 30%. While NEAR is trading at the lows, this is a perfect point to get in as the risk-to-reward is quite significant. The stop loss can be set just below the swing low. Amidst the bearish price action, the price did witness a decent bounce from the swing low.

The 4h Chart shows prices getting ready for a breakout

The 4H chart is displaying a moderate recovery of the prices from the support. The Bulls are getting ready for a breakout as the prices are very close to the resistance of the channel. The trendline perfectly aligns with the 200 EMA which establishes its significance.

This will determine the course of NEAR in the short term. A rejection from here could be fatal as the market will experience panic selling. The probability of a further downfall cannot be ruled out as the market remains bearish. Investors should remain cautious and wait for a strong breakout supported by big volume bars. A successful retest can be the ideal entry for this breakout. 

RSI: The RSI indicator is currently at 64.50 on the 4H and the RSI has Crossed the MA line towards the upside. This indicates strong bullish momentum.

MACD: The MACD indicator made a bullish crossover while being above the 0 line. This signals bullish momentum.

200 EMA: As observed, on the 4hr, the price is trading below the 200 EMA(exponential moving average) which acts as a significant resistance. This is a clear indication of a downtrend where the sellers are in control and for a trend reversal, the price must break and trade above the 200 EMA.

Technical levels

Support Levels: $1.23 – Support 1

    $0.87 – Support 2

Current Price: $1.33

Resistance Levels: $1.55 – Resistance 1

          $1.83 – Resistance 2

Conclusion:

NEAR PROTOCOL is trading in a descending channel and this could be a ticket to a flight that will lead to $2.7. The price bounced decently from the support level. The Recovery phase will continue only if the bulls manage to break the channel. The Market is getting volatile as time passes. It is important for investors to maintain a solid risk-management strategy to escape from huge losses. The current price is attracting the bulls because of the good risk-to-reward it has to offer. 

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.