The NEAR protocol price has been on the rise for the past few weeks. However, today’s trading session looks poised to break the previous two trading sessions that closed above the opening price. So far, the trading session has recorded a net drop of around 1.7 per cent, but then it is looking more likely that the prices might drop further.
Part of the reason why the NEAR protocol has been on the rise in its latest funding round that saw it raise $350 million. The funding majorly came from hedge fund Tiger Global and attracted investments from other well-known capital ventures such as Republic capital, FTX Ventures, Hashed, Dragonfly Capital, ParaFi Capital, e.t.c. One of the biggest motivations for these companies to invest in the platform is to address because the protocol is addressing some of the challenges Ethereum has failed to address.
Another reason that is causing the NEAR protocol to rise is its emphasis on Web 3 technology. One of the most recent innovative ideas in the blockchain community has been the proposal that Web 3 can replace the current internet experience. As a result, companies have also started investing millions of dollars in the development of Web 3 applications, which have gained traction in the last few years.
In the past 24 hours, the protocol trading volume has dropped by 29 per cent. Although the total value of the NEAR protocol was still above $1.4 billion, it may still have contributed to the current drop in the cryptocurrency price.
NEAR Protocol Price Prediction
Looking at the daily price chart below, there is a possibility that the prices of the NEAR protocol may continue falling in the next few days. This is partly due to the fact that the protocol is coming from a month high resistance level. Therefore, I expect the prices of the NEAR protocol to hit the $14.44 support level. However, it is also possible that the prices may trade below that level and proceed to the $12.5 support level.