Near Protocol, one of the top-performing altcoins in 2024, has recently experienced a breakout that has raised concerns among investors. Despite a strong start to the year, the altcoin’s price trajectory has shifted, with a prominent crypto analyst suggesting a potential downtrend in the near future.
At the beginning of May, Near Protocol formed a wedge pattern after a brief dip to $5.5 followed by a slight recovery. The breakout from this wedge pattern led to a 15% increase in price, pushing it above $8. However, the subsequent market retracement, triggered by a decline in Bitcoin’s price, caused Near Protocol’s price to plummet, confirming the bearish sentiment.
Crypto analyst Kledji Cuni highlighted the significance of the breakout, indicating that it marked the initiation of a bearish trend. He anticipates Near Protocol to hover around the $7.3 mark in the short term but foresees a downward trajectory in the near future. Cuni predicts a potential 8% drop to $6.78, followed by a further decline to the $6 level, ultimately bottoming out at $4.6.
Recent metrics associated with Near Protocol align with the analyst’s prediction of an impending decline. The coin has witnessed losses in the last month following a robust start to 2024. Moreover, there has been a notable decrease in the daily trading volume, signaling waning interest in the altcoin. The daily trading volume has dropped by over 18% to approximately $246 million, further substantiating the potential downturn.
As of the latest data, Near Protocol is trading at $7.3, reflecting a 0.89% decrease in the last day and a 4.28% decrease over the past week. The combination of price decline, diminishing trading volume, and expert predictions indicates that Near Protocol may be on the brink of a significant downward movement in the near future.
The recent breakout and subsequent price movement of Near Protocol suggest a bearish trend in the horizon. Investors and traders should exercise caution and closely monitor the developments surrounding the altcoin to make informed decisions regarding their investments.
