NEAR, the digital asset, is currently trading 17% below its local high of $9 from mid-March, having rebounded impressively by 72% from its local low in mid-April. This demonstrates strong price action and the potential for NEAR to reclaim the $9 mark. In terms of technical analysis, NEAR is positioned above both the 100 EMA and the 200 EMA on the daily chart, providing strong support levels at $6.54 and $5.32 respectively. The Ichimoku Cloud on the daily chart acts as a support zone, with the price staying above the cloud indicating an upward trend. However, if the price falls below the cloud, a potential price reversal could occur.
On the 4-hour chart, the Ichimoku Cloud is acting as resistance, with the price testing the lower boundary of the cloud, suggesting selling pressure. The price needs to decisively break above the 4-hour Ichimoku Cloud for continued upward movement. Transactional trends for NEAR have seen volatility, with significant drops in daily transaction volume observed in early April and late May. If daily transactions continue to rise to 10 million, it could signal a bullish trend for NEAR. However, daily transaction volume has also experienced a decline, with important peaks in May dropping significantly by June.
Given the current technical setup and transactional trends, NEAR presents promising opportunities for traders and investors. To capitalize on the bullish outlook, consider entering positions near the support levels provided by the 100 EMA and 200 EMA on the 4-hour chart. It is also recommended to set stop-loss orders below daily EMAs to manage risk. As long as NEAR remains above the Ichimoku Cloud on the daily chart, maintaining a bullish stance is advisable. Pay attention to spikes in daily transaction volume, as they can anticipate price movements. It is important to conduct thorough research and consult with a professional before making any financial decisions.
Discussion about this post