The NEAR Protocol has witnessed a significant 20% increase in its token price today, as the market shows a preference for long positions and the platform experiences growth in partnerships. This surge has piqued the curiosity of the crypto market regarding what lies ahead for the token. As investor interest grows, let’s delve into the dynamics of the token.
NEAR, the token of NEAR Protocol, is currently trading at $2.88, marking a 20% rise. Last week, NEAR saw an impressive 30% increase, boosting its market value to approximately $2.89 billion. Despite this growth, NEAR Protocol is still 86% below its all-time high of $20.44 recorded nearly two years ago in January 2022.
The recent price hike of NEAR reflects an uptick in investor interest and market activity. According to Coinglass data, there has been a notable long/short ratio favoring long positions in the last 24 hours. NEAR’s trading volume has soared over 300%, reaching $1.27 billion in the derivatives market, while open interest has climbed by 40% to a total of $144.7 million, signaling an overall positive sentiment.
However, caution is advised as the Relative Strength Index (RSI) hovers around 72, indicating an overbought momentum. This suggests that NEAR might be approaching overvaluation and could be susceptible to a trend reversal or a corrective pullback in price.
Last week, NEAR Protocol initiated a strategic partnership with U.S.-based IDS Inc. to enhance the development of the Bharat Blockchain Network. This follows a collaboration in November with Polygon Labs to focus on developing zkWASM, a zero-knowledge proof for WASM blockchains. The synergy between Polygon Labs’ expertise in zero-knowledge proofs and NEAR Foundation’s knowledge of WASM WebAssembly technology is set to advance the zkWASM validator technology.