NEAR Protocol Price Drops 8% After Network Upgrade Despite Institutional Interest

Quick Take

• NEAR currently trading at $2.57 (-8.22% in 24h)
• NEAR RSI at 46.25 suggests neutral momentum with potential for reversal
• Network upgrade completed successfully but institutional selling pressure dominates

What’s Driving NEAR Protocol Price Today?

NEAR Protocol completed a major network upgrade and hard fork at 01:00 UTC on August 18, 2025, marking a significant technical milestone for the blockchain. However, this positive development has been overshadowed by the lingering effects of heavy institutional selling that began on August 14.

The recent price decline stems primarily from institutional sell-offs and South Korean exchange deposit suspensions that occurred during the network upgrade preparation. This selling pressure resulted in a 7% drop earlier in the week, with NEAR price struggling to recover despite the successful technical implementation.

Despite earlier positive momentum from $7.6 million in institutional inflows on August 13 that drove NEAR price from $2.75 to $2.91, the subsequent institutional selling has created a challenging environment for bulls. The contrast between institutional buying and selling over the past week highlights the volatile nature of institutional flows in the NEAR Protocol ecosystem.

NEAR Technical Analysis: Mixed Signals Emerge

NEAR Protocol technical analysis reveals a complex picture with conflicting indicators. NEAR Protocol’s Daily RSI sits at 46.25, placing it in neutral territory but approaching oversold conditions. This NEAR RSI reading suggests the recent selling pressure may be creating an opportunity for potential reversal.

The MACD histogram shows -0.0097, indicating bearish momentum for NEAR in the short term. However, the relatively modest negative reading suggests the downtrend may be losing steam. NEAR Protocol’s Stochastic %K at 27.26 supports this view, approaching oversold levels that often precede bounce attempts.

NEAR Protocol’s moving averages paint a mixed picture. The current NEAR price of $2.57 sits below the 7-day SMA of $2.75 and slightly below the 20-day SMA of $2.64, but remains close to the 50-day SMA of $2.60. This positioning indicates NEAR is testing crucial support levels while maintaining proximity to medium-term trend lines.

NEAR Protocol Price Levels: Key Support and Resistance

Critical NEAR Protocol support levels emerge at $2.30 for immediate support and $2.02 for strong support. The current NEAR price of $2.57 provides a reasonable buffer above immediate support, offering potential downside protection.

On the upside, NEAR resistance appears at $3.06 for immediate resistance, with strong NEAR Protocol resistance at $3.10. These levels represent significant hurdles for any recovery attempt, particularly given the recent institutional selling pressure.

The Bollinger Bands show NEAR trading in the lower half of the range, with the upper band at $2.95 providing additional resistance context. NEAR Protocol’s %B position of 0.3929 confirms the token is trading in the lower portion of its recent range, potentially setting up oversold bounce conditions.

Should You Buy NEAR Now? Risk-Reward Analysis

Based on Binance spot market data, different trading strategies suit various risk profiles. Conservative traders should wait for NEAR price to establish clear support above $2.64 (20-day SMA) before considering entry, with stops below $2.30.

Aggressive traders might consider the current NEAR price attractive given the oversold technical conditions and successful network upgrade completion. However, risk management becomes crucial with tight stops below $2.45 to limit downside exposure.

For swing traders, the key lies in watching institutional flow data and monitoring whether the selling pressure from South Korean exchanges subsides. A return of net institutional inflows could quickly reverse the current NEAR Protocol technical analysis bearish signals.

The daily ATR of $0.19 indicates normal volatility levels for NEAR/USDT, suggesting manageable risk for position sizing. However, traders should remain aware that institutional flows can quickly amplify volatility beyond historical norms.

Conclusion

NEAR Protocol faces a critical juncture with successful network infrastructure improvements offset by institutional selling pressure. The NEAR price at $2.57 sits at important technical levels where bounce attempts often emerge. Traders should monitor the next 24-48 hours for signs of institutional selling exhaustion and potential oversold recovery, while maintaining strict risk management given the mixed technical signals and ongoing institutional flow volatility.

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