NEAR Protocol has been showing signs of a potential rebound as it tests a bullish inverse head-and-shoulders pattern with resistance at $2.14. The market capitalization of NEAR rose by 4.47% to $2.55 billion, indicating cautious optimism among investors. However, the 24-hour trading volume dropped by 15.66%, suggesting weak trader commitment. The price of NEAR currently stands at $2.12, up by 4.26%, but the volume decrease indicates that the recent gains may not trigger a sustained rally without increased buying pressure.
The inverse head-and-shoulders pattern on NEAR’s chart suggests a bullish reversal, with the potential for a breakout above $2.14 leading to a 14.84% move to $2.43. Traders should be cautious as strong volume confirmation is needed for the rally to continue. Short liquidations on NEAR have been mounting as bearish bets backfire, with short liquidations surpassing long ones. This imbalance in liquidations could act as a hidden driver of momentum as short sellers are forced to exit their positions, creating upward pressure on the price.
Social metrics indicate that NEAR is regaining visibility among retail traders, with social volume and dominance increasing. This shift in sentiment could accelerate if the bullish pattern is confirmed, leading to further demand and FOMO-driven buying. While developer activity has cooled down slightly, NEAR continues to outperform many projects in its category in terms of code-level contributions. Any rebound in activity could strengthen investor confidence in NEAR’s long-term viability.
NEAR Protocol is potentially gearing up for a major rally, with the bullish structure indicating a 15% move and growing momentum from short-side liquidations and rising social engagement. Breaking the $2.14 neckline with strong volume could pave the way for further gains, especially if there is renewed developer commitment and increasing interest. With the potential for a breakout towards $2.40, NEAR could be on track for a significant rally in the near future.
In conclusion, NEAR Protocol’s recent market movements suggest a potential rebound and bullish reversal, with the inverse head-and-shoulders pattern indicating a breakout towards $2.40. Short liquidations mounting and rising social engagement point towards growing momentum, but strong volume confirmation is essential for the rally to continue. Despite a slight slowdown in developer activity, NEAR remains a strong contender in its category, with the potential for a significant rally on the horizon. Investors should keep a close eye on NEAR’s price action and volume for further indications of a breakout.
