NEAR Protocol (NEAR) is testing a critical juncture, holding firm above the significant $2 support level. After a period of decline, the cryptocurrency is showing preliminary signs of renewed strength, suggesting a potential market bottom might be forming.
The $2 mark holds historical significance for NEAR, acting as a consolidation base back in December 2023 before the token surged towards $4.60. Recent price activity indicates buyers are actively defending this zone. Despite brief dips below $1.90 between April 8 and 10, the price consistently closed above this threshold, showcasing buyer resolve.
Currently, NEAR’s price is pushing towards its 20-day Exponential Moving Average (EMA), situated around $2.24. The altcoin has traded near this key technical level since its last attempt to surpass it in late March, indicating a potential shift in momentum could be imminent. For those new to market dynamics, understanding concepts like moving averages is crucial for cryptocurrency trading for beginners.
Further technical indicators support a potential bullish outlook. The MACD histogram is flattening, and the gap between the MACD line and its signal line is closing, hinting at a possible bullish crossover soon. Such a crossover often acts as a confirmation trigger for traders.
Additionally, the Stochastic oscillator shows its %K line crossing above the %D line while in oversold territory – a classic signal of potential upward reversal. If this crossover sustains and the oscillator climbs above the 30 mark, especially alongside a break above the 20-day EMA, it would strengthen the case for a bullish shift.
For market bulls to solidify control, NEAR needs to decisively break and close above the 20-day EMA (~$2.24), ideally with increased trading volume. Achieving this could pave the way for a retest of the $2.60–$2.80 resistance area, which notably aligns with the 50-day Simple Moving Average (SMA) at $2.59. Investors looking to trade NEAR might consider using a reputable best crypto exchange.
Market analyst @NDKrypto highlighted the importance of the $2.80 level. According to their analysis shared on social media platform X, reclaiming and holding $2.80 as support would be a strong indication that NEAR Protocol has indeed established its price floor, although a retest of lower levels remains possible if this resistance holds.