Near Protocol (NEAR) price is up 65% in the last 4 days. The gains pushed the stock to a 440-day high of $3.44 today.
NEAR is up 80% so far in December. Will the momentum continue until the end of the month?
NEAR Ascent reaches new heights
Technical analysis on weekly time frames shows that NEAR price broke out of a downward resistance trend line in November. Before the breakout, the trend line held for 540 days.
Although the increase was slow at first, NEAR accelerated this week and created a large bullish candle. Since then, the altcoin has increased by 55%, surpassing a long-term horizontal resistance area.
Using RSI as a momentum indicator allows traders to determine whether the market is overbought or oversold and decide whether to accumulate or sell.
If the RSI reading is above 50 and the trend is upward, it is in favor of a bull market, but if the reading is below 50, the opposite is true.
Weekly RSI is increasing and exceeding 50, which are all signs of a bullish trend. It is also above 70 (green icon), which indicates that momentum is strengthening further.
Read more: What is the NEAR Protocol?
NEAR Price Prediction: Is the Rise Sustainable?
Although the increase has been parabolic, technical analysis on the daily time frame shows that the trend is still strong. This is due to price movements and RSI readings.
The price action shows that NEAR has broken out of the ascending parallel channel that has suppressed its advance since October. This accelerated yesterday’s gains. Bounces and breakouts were predicted by CWTrades. Who tweeted:
If you are looking for long-term trades on this trend line, you will be kept updated when the price is on this trend line.
Read more: Top 7 NEAR Wallets of 2023
NEAR rose above the $2.70 and $3.40 resistance levels during the uptrend.
AltCryptoGems noted that NEAR price has reached both targets.This is consistent with the resistance mentioned above.
Additionally, the RSI breaks away from the bearish divergence trend line (green), indicating the end of the correction. Now the indicators are increasing.
If NEAR closes above the $3.40 resistance, it could rise another 50% to the next resistance at $5.
Despite these optimistic NEAR price predictions, a close below $3.40 could lead to a 20% decline to the nearest support area at $2.70.
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