Key Takeaways:
- Near Protocol prices jumped 16% since Apr 18.
- The uptrend likely resulted from FTX listing the protocol's native token NEAR
NEW DELHI (CoinChapter.com) — Near Protocol, a community-run cloud computing platform, saw its native token NEAR rose from Apr 18’s low of $14.7 to reach an intraday high of $17 on Tuesday, a jump of nearly 17%.
Near Protocol rose nearly 62.3% month-to-date, as its native token outperformed several of its peers. In addition, NEAR’s 50-day moving average (yellow wave) moved above its 100-day MA (purple wave) to chart a bullish technical pattern called the golden cross on Apr 16.
Traders and analysts usually interpret the pattern as an indicator of a definitive uptrend in the market. However, NEAR prices failed to respond to the cue immediately, as the token continued to move laterally. In addition, long wicks on both ends of daily candles indicate both bulls and bears are active.
If NEAR continues its uptrend, the token would likely flip immediate resistance near $17.3 before moving to challenge resistance near $18. $17.3 has acted as resistance for the token between Dec 24, 2021, to Jan 5 this year, and since Apr 3.
Further uptrend would likely see Near Protocol target $20, a price level that is a hairbreadth away from NEAR’s ATH of $20.42.
Also Read: NEAR Protocol’s token rallies 35% after $350M funding round — what’s next?
Meanwhile, momentum oscillator MACD continues to be bearish for the Near Protocol. However, bars on the MACD histogram, which charts the difference between the MACD line (difference between 12-day and 26-day EMA) and the MACD signal line (9-day EMA of MACD), are contracting.
Contracting negative bars indicate increasing bullishness in NEAR’s price momentum.
NEAR’s RSI Might Cause Pullbacks
The relative strength index for the Near Protocol token is currently neutral, clocking 61.69 on the daily charts. However, the RSI trendline is moving upwards, and its current path might soon make the NEAR token overbought.
Traders often consider an overbought RSI a prelude to an upcoming trend reversal in bears’ favor. As such, overbought RSI levels often trigger sell-offs. If the RSI becomes overbought, NEAR would likely fall to immediate support from its 20-day MA (red wave) near $16.
A sustained downtrend could push the token to support near $14.3, a price level that earlier supported NEAR’s price action between Dec 25, 2021, and Jan 7 this year. Finally, Near Protocol has support from its 50-day MA (yellow wave) near $13.26.
FTX Listing
Cryptocurrency exchange FTX announced the listing of Near Protocol’s token NEAR on its platform. As per FTX’s announcement, trading, deposits, and withdrawals would begin on Apr 19 at 1400 hours (UTC). Currently, only NEAR/USD and NEAR/USDT trading pairs are available for trading on the platform.
Also Read: NEAR Protocol gained 14% after Forbes named it the 3rd fastest-growing crypto ecosystem.
New exchange listings often act as bullish cues for a token, making the token available to a wider userbase. So it seems the listing news is helping add tailwinds to NEAR’s price action.
At the time of writing, NEAR was trading at $16.8, up 3.96% on the day.
