The post NEAR Protocol’s Price Shows Short-Term Rally Potential Amid Uncertain Outlook appeared on BitcoinEthereumNews.com.

NEAR Protocol is currently experiencing a notable price surge, showcasing potential for a brief rally despite an overarching bearish outlook. The recent increase in Total Value Locked (TVL) does not overshadow the challenges posed by dwindling user activity and conflicting market signals. “If we observe a death cross on the MACD, we could be looking at a significant downturn for NEAR in the near term,” warned a COINOTAG analyst. NEAR Protocol shows promise with a 10.42% surge, yet struggles with declining activity and bearish indicators, raising concerns for future price stability. Steady Growth in Total Value Locked amidst Market Fluctuations In recent weeks, NEAR Protocol’s Total Value Locked (TVL) has displayed a consistent pattern, ranging between $259.85 million and $236.58 million according to DeFiLlama. This stability in TVL illustrates a degree of user participation, which is critical for maintaining liquidity and overall network health. As of now, the TVL is recorded at $253.52 million, suggesting that while there is some degree of stability, caution is warranted. Fee Generation: A Key Indicator of On-chain Activity To understand the nuances of NEAR’s ecosystem, one must examine the associated fee generation. On the 11th day, NEAR recorded its lowest fees at just $21,680. Lower fees often correlate with diminished network usage and can be indicative of reduced interest among users. This drop in fees suggests that while the TVL may remain stable, active participation and engagement are on the decline, which could impact NEAR’s pricing dynamics significantly. Analyzing Technical Indicators: MACD and RSI Insights The technical indicators at play for NEAR present a mixed bag. The Moving Average Convergence Divergence (MACD) is hinting at bearish sentiment, with the potential formation of a death cross. This bearish formation often signals increasing downward pressure. Contrastingly, the Relative Strength Index (RSI) has rebounded slightly, indicating mild…

---

Filed under: News - @ January 3, 2025 12:19 am