NEAR Protocol (NEAR) Price Prediction 2023-24: Will NEAR Rise Again After the Recent Drop?

AI tokens are on a downhill path as the crypto market's bearish phase progresses. The situation worsened when the Department of Justice ordered a subpoena

The price of NEAR has shown resilience despite the bearish trend in the crypto market, with the token holding up better than other AI tokens. This is evident in the technical analysis of NEAR, which shows a falling channel pattern with bullish divergence in the RSI line.

However, on a broader scale, the NEAR token has seen a concerning decline in unique accounts despite maintaining a strong daily transaction rate. This could indicate a lack of interest in new accounts joining the NEAR protocol.

Key Highlights

The NEAR token price shows a falling channel pattern on the daily chart.

Despite the downtrend, the RSI line showcases bullish divergence.

Crucial EMAs maintain a declining trend, displaying the bearish continuation.

Unique accounts on the NEAR protocol have dropped significantly.

Despite the bear market, daily transactions continue to grow, showing resilience in the network activity.

NEAR Token Analysis

In the daily chart, the NEAR token showcases a falling channel pattern, which is a technical formation that occurs when the price makes lower highs and lower lows within two parallel descending trendlines. In this case, the channel spans from a high of $8.28 to the current market price of $3.73.

The lower trendline of the channel acts as support, while the upper trendline serves as resistance. The token price has encountered resistance at the upper trendline multiple times, leading to bearish continuation.

Moreover, zooming into the price action reveals a five-wave downtrend structure, which is part of a larger bear cycle. In this downtrend, the NEAR token has experienced a 25% drop and registers nine out of ten bearish candles.

Currently, the AI token is trading at $3.73 with a long-tail rejection before hitting the pivotal $3.49 level. This lower price rejection at a crucial support level showcases a potential bullish pin bar candle formation, which could lead to an intraday bullish candle.

Furthermore, crucial EMAs in the daily chart maintain a declining trend. This bearish continuation is highlighted by the death cross between the 50 and 200-day EMAs.

Crucially, the 50-day EMA is at $5.26, while the 200-day EMA is at $4.28. These moving averages act as resistance levels for the NEAR token price.

However, on bullish support, the RSI indicator showcases a bullish divergence in the RSI line. This divergence is a technical indicator that signals a possible trend reversal.

In this case, the RSI line is forming higher lows while the price makes lower lows, indicating a divergence in momentum. This divergence is typically bullish and projects a high likelihood of another positive cycle to challenge the overhead resistances.

Unique Accounts Drop, Daily Transaction Maintains Strength

In other news, as the NEAR bear market continues, data from Near Blocks, a Near Protocol blockchain explorer, reveals a significant decline in the number of unique accounts on the NEAR protocol.

The number has dropped dramatically from 2.25 million unique accounts in April to around 700,000 currently. These accounts are typically new users interacting with the blockchain for the first time.

While the number of unique accounts has experienced dips throughout the year, these were typically followed by quick recoveries. However, over the past three weeks, the trend has not rebounded, highlighting a concerning lack of new unique accounts.

On a positive note, year-to-date transaction growth has shown improvement. Starting the year with 3.991 million total transactions on January 1 and 1.169 million new addresses, the latest data indicates 7.459 million total transactions, with 712,000 new accounts maintaining a steady flow.