Near Protocol (NEAR) Price Rebounded Strongly From The Long-term Support Zone, This’s A Potential Target
The Near Protocol (NEAR) price has bounced up from the long-term support zone and broken above the short-term resistance line. It is expected to recover strongly in the near future.
Weekly Outlook
The NEAR Protocol (NEAR) price had dropped below the important support zone at $1.25 and confirmed it as resistance during the week from August 28 to September 3 (red arrow). This caused the price to fall to the long-term support zone at $0.95, where the bull market began in 2020.
A positive signal is that the NEAR price bounced up right after touching this support zone last week, creating a bullish pin bar candlestick (green arrow). This indicates strong buying interest from the bulls when the price touched it.
Indeed, the price has surged strongly this week and is currently testing the $1.25 zone again. If a breakout occurs, the NEAR price could rise rapidly to the next resistance zone at $1.62. This number is more than 30% higher than the current price.
The weekly RSI (Relative Strength Index) supports the possibility of further uptrend as it breaks above the long-term descending resistance line and slopes upward.
Breaking the Resistance Line
The daily chart shows that the NEAR price has broken above the descending resistance line, formed since the yearly high at $2.8 in February 2023. This is a bullish sign, indicating that the previous downtrend has ended and a new uptrend might occur.
This perspective is reinforced by the fact that the NEAR price has formed 9 consecutive green candles on the daily chart with significant volume (green ellipse). This is an indication of the beginning of a sustainable uptrend.
The daily RSI supports this view as it sharply rises from the oversold zone to the overbought zone.
Conclusion
The most likely scenario suggests that the NEAR price will continue to rise in the near future. The potential target for this movement is $1.62.
Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.
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