After going through a mini correction last week, The Near Protocol (NEAR) is emerging from the dumps. The coin has surged and could hit $14 in the coming days. But what are some of the risks? Analysis to follow here below but first, some important highlights:
NEAR has regained its crucial $9.5 support after the recent rally.
The coin could surge towards $14 if NEAR holds that support level.
The altcoin was selling for $10.59 at press time.
Data Source: Tradingview
Near Protocol (NEAR) – Price analysis
After regaining the crucial support of $9.5, it seemed like NEAR was on the up and up. The coin has however slowed in the upward ascend and we have seen a small pullback. But despite this, NEAR still trades at $10.5, way higher than the $9.5 support zone. If indeed bulls can keep the coin above that, there is enough upward momentum left to shoot NEAR towards $14.
The most important thing to watch as of now will be the overhead resistance of $11.7. NEAR has been rejected several times at this zone, but if the bulls can push above it before the end of the week, then a bullish breakout is very feasible.
However, there is still a sell-off risk, owing to the volatility in the market. If bears break the $9.5 mark, then NEAR could fall even further towards $8 before it rises again.
Why are investors buying The Near Protocol?
With a market cap of $6.8 billion, NEAR is a big project with a lot of investors. The layer one blockchain is designed to offer a “community-based” cloud computing ecosystem with extra fast speeds, low gas fees, and usability.
The project has supported the launch of several innovative DApps and looks poised to become one of the biggest blockchain projects in the coming years. It's by far a great investment for the future.