NEAR moves highs
Near Protocol is a highly scalable, open source, high throughput smart contract platform designed for building decentralized applications. The NEAR token is the native currency of the project.
The weekly timeframe shows that in November the price broke through the descending resistance line, which was 540 days old.
Initial growth was slow, but the token accelerated this week, forming a large bullish candle. It has since risen 55% and above long-term horizontal resistance.
Source: TradingView
The weekly relative strength index (RSI) is rising and above the neutral level of 50, which is considered signs of a bullish trend.. It also crossed upward from 70 (green icon), indicating further strengthening of momentum.
NEAR Forecast: Is Growth Sustainable?
Despite the parabolic rally, the daily timeframe indicates that the trend is still bullish.
Thus, price dynamics show that NEAR has broken out of the ascending parallel channel to the north, which has been restraining growth since October. In the process of strengthening, the token rose above the resistance areas of $2.70 and $3.40.
AltCryptoGems noted that the price reached both of its targets, which coincided with the aforementioned resistance.
In addition, the RSI index has made a bullish breakout of the bearish divergence trend line (green), indicating the completion of the correction. Now the indicator is rising.
If NEAR closes above the $3.40 resistance, it could rise another 50% to the next $5 resistance level.
Source: TradingView
On the other hand, a close below $3.40 could trigger a 20% drop to the immediate $2.70 support area.
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