Summary of Key Developments
- •NEAR has fallen to its lowest price point since October 10th, contrasting with significant triple-digit monthly growth in network intents and revenue, indicating a notable divergence between usage and price.
- •Analyst Michaël van de Poppe identifies the current price zone as the most robust accumulation cluster since October-November, with buyers actively defending key liquidity levels and anticipating a reclaim of the 20-Day Moving Average as confirmation of a potential bottom.
- •A successful break above near-term resistance could re-establish NEAR within its broader trading range and target prior highs; conversely, a failure to do so may lead to further price compression within a lower demand zone until buying momentum is re-established.
Network Activity Outpaces Price Performance
Analyst Michaël van de Poppe has reported that NEAR (NEAR) intents are experiencing triple-digit monthly growth rates, even as the token's price remains confined within a multi-week trading range. This disparity between escalating network usage and stagnant price action is being interpreted by analysts as a precursor to significant directional shifts in the market.
Signs of Stabilization and Potential Rebound
Van de Poppe has indicated that NEAR is exhibiting early indicators of stabilization following an extended period of decline. The analyst suggests that consolidation at current price levels could signify building strength, particularly if the price manages to ascend above the 20-Day Moving Average. According to Van de Poppe, a breakout beyond this short-term trend indicator would serve as one of the initial signals of a potential shift in market momentum.
A move above the immediate short-term resistance levels would reintroduce NEAR into its broader trading range, potentially paving the way for a recovery towards previous price peaks, the analyst noted. Van de Poppe characterized the present market structure as the most significant accumulation zone observed since October and November, with buyers actively defending the liquidity area where past recoveries originated.
However, Van de Poppe cautioned that a failure to reclaim this critical area could result in NEAR remaining within a lower demand zone, potentially leading to further price compression. This scenario suggests that the cryptocurrency could continue to trade sideways or decline until buyers accumulate sufficient momentum to challenge resistance levels once more.
Technical Analysis and Future Outlook
Price action data for NEAR reveals a pronounced downward trend that dominated throughout October and November, marked by a consistent pattern of lower highs and lower lows. The final phase of this decline saw an increase in trading volume, which some analysts interpret as a potential capitulation event. Since then, the price has begun to stabilize, forming a short-term base and attempting to retrace prior breakdown levels.
Technical indicators illustrate repeated testing of a lower price band, suggesting that this level has solidified into a key support zone. A sustained upward movement above the 20-Day Moving Average would represent the first significant indication of shifting momentum in several weeks, according to technical analysis principles.
Should NEAR successfully breach the critical resistance area, the broader trading range would be re-established, making a move towards previous range highs a distinct possibility, analysts have stated. Conversely, if this breakout attempt proves unsuccessful, the price may continue to consolidate until buyers gather enough momentum to challenge resistance again.
With network activity showing acceleration and market structure tightening, the upcoming breakout attempt is poised to be a decisive factor in determining whether the recent multi-week decline represents a long-term market bottom or merely a temporary pause in a larger trend, according to market observers.