The bullish investors have been driving the NEAR coin price since the end of October. In mid-December, they managed to surpass a major resistance level, which further strengthened the cryptocurrency’s upward trend.
Near Protocol is a sharding-based software that facilitates the creation and deployment of decentralized applications.
Sharding distributes segments of the blockchain across network participants, making it more efficient to retrieve network data and scale the platform. NEAR Protocol is maintained and operated by a distributed network of computers, unlike centralized data storage systems like Amazon Web Services (AWS), which serve as the foundation for building applications.
What is Nightshade and How it Helps Near Protocol
Nightshade allows NEAR Protocol to maintain a single chain of data while distributing the computing power required to maintain the data into “chunks.” Participating nodes handle these chunks by processing the data and adding the information to the main chain.
This architecture minimizes potential points of failure and enhances security since only the participating nodes are responsible for maintaining smaller sections of the chain. NEAR protocol provides an application called the Rainbow Bridge to facilitate the transfer of Ethereum tokens between Ethereum and NEAR.
The Rainbow Bridge allows users to deposit tokens in an Ethereum smart contract, lock them, and create new tokens on NEAR’s platform that represent the original ones. The original funds held in storage through the smart contract can be retrieved when the user wishes to retrieve their original tokens.
Shemaroo Entertainment Limited has introduced ShemarooVerse, which is a public metaverse. ShemarooVerse aims to integrate entertainment with Web 3.0 technology, providing a digital universe with a content library and interactive games.
It includes Bollywood avatars, live concerts and events in VR cinema, wellness zones, devotional zones, workspaces, social spaces, and storefronts, among other things.
Arghya Chakravarty, COO of Shemaroo Entertainment, explained that with the launch of ShemarooVerse, they plan to collaborate entertainment with Web 3.0 technology to create a digital universe.
Technical Analysis and Prediction of NEAR Coin Price
The current trading price of the NEAR coin stands at $2.95, having surpassed the resistance level of $2.959, which has now turned into support for the buyers. There is a strong uptrend in the NEAR price chart.
However, the current short-term bearish momentum is evident as indicated by the RSI. The bullish investors will likely recover. Although the RSI is at an overbought level of 42, the Simple Moving Average line has fallen to 49, indicating a sudden decrease in strength.
The present market situation suggests a bullish reversal. NEAR bulls may expect support close to the current market price, implying that the uptrend is likely to continue.
Conclusion
NEAR protocol is a sharding-based software for decentralized app creation and deployment. It uses a distributed network of computers instead of centralized data storage systems. The price is currently showing an uptrend, but there is a short-term bearish momentum indicated by the RSI. Bullish investors are expected to recover.
Technical Levels
- Support Levels: $2.95 and $2.075
- Resistance Levels: $4.63 and $5.97
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading in stocks, cryptos or related indexes comes with a risk of financial loss.
Amanda Shinoy is one of the few women in the space invested knee-deep in crypto. An advocate for increasing the presence of women in crypto, she is known for her accurate technical analysis and price prediction of cryptocurrencies. Readers are often waiting for her opinion about the next rally. She is a finance expert with an MBA in finance. Quitting a corporate job at a leading financial institution, she now engages herself full-time into financial education for the general public.
Source: https://www.thecoinrepublic.com/2024/01/19/near-price-short-term-fall-observed-with-possible-reversal/