Near Protocol price analysis

 

Even as Bitcoin and other cryptocurrencies fell, the Near Protocol price defied the odds and climbed to an all-time high. The NEAR price has risen for two days in a row and is now trading above $8.66, which is around 40% higher than the previous all-time high. According to CoinMarketCap, the platform has a total market capitalization of over $3.9 billion, making it the world's 45th largest cryptocurrency according to CoinMarketCap.

What is the Near Protocol?

The Near Protocol is the foundation for NEAR, a decentralised development network. The protocol is based on a proof-of-stake model that also incorporates sharding and other technologies.

The network, like Ether, Solana, and Polkadot, allows developers to create decentralised apps similar to those found in the DeFi and NFT ecosystems. The platform's key benefit is that it is relatively fast, has low gas prices, and is highly scalable.

The NEAR Protocol employs a method known as "sharding," which divides the network into many sections (shards) to allow for parallel transaction processing. This implies that the network's capacity has no theoretical limit. Transactions are batch-processed and executed on several shards at the same time while processing in parallel. One shard is theoretically its own blockchain with its own resources and validators, but they can interact and communicate with each other.

More developers have switched to the Near Protocol during the last several months. Maker DAO, Ampleforth, and CommonFund are a some of the network's most popular DeFi apps. Flux, a quick and inexpensive decentralised open market protocol, and Paras, a highly scalable NFT platform, are two others.

The price of the Near Protocol is stable, in part because the volume of transactions in the network is stable. The number of transactions in the last 24 hours has grown to more than 316k, slightly less than the month's high of 322k at the time of writing. As you can see in the graph below, the number of daily transactions is approaching an all-time high. In addition, the number of new accounts has reached an all-time high.

 

Still, we cannot exclude out the possibility that Fear of Missing out (FOMO) is a major driver of the NEAR price rise. Many retail traders have switched to the network in the hopes that it will be the next big thing, with the token's price soaring by more than 500 percent from its lowest point in July.

Price estimate for Protocol in the Near Future

The NEAR price has been in a strong bullish trend for the past few weeks, as shown on the daily chart. The coin has surpassed a key resistance level at $7.2345, which was the previous all-time high. It also soared over the black bullish pennant formation.

The coin has also risen beyond its 25-day moving average. As a result, while the upward trend may continue, the Near Protocol bullish run is likely to come to an end. If this occurs, the crucial support level at $7.2345 will be the next level to monitor.