Near Protocol (NEAR) Regains Value After 43% Wick Decrease

Minersgarden
Near Protocol (NEAR) Regains Value After 43% Wick Decrease
Blockonomics


Near Protocol (NEAR) has increased by 25% so far on Dec 23 and is approaching its all-time high price of $17.50.

On Dec 15, NEAR reached a new all-time high price of $17.50. However, it dropped sharply the same day, creating a long upper wick of 43.5%.

Despite the drop, the token regained its footing shortly afterwards and initiated another upward movement on Dec 21. Two days later, it broke out from a descending resistance line, which had been in place since the previous all-time high. This confirmed that the correction had ended.

Technical indicators are also bullish. 

Phemex

The MACD, which is created by a short and a long-term moving average (MA), has moved into positive territory for the first time in Dec. This means that the short-term MA is faster than the long-term one, and further confirms that the trend is bullish. 

In addition to this, the RSI has moved above 50, another sign of a bullish trend.

Chart By TradingView

Short-term movement

The six-hour chart shows that NEAR has broken out from the $12.40 horizontal resistance area. 

If a short-term drop were to occur, this area would now be expected to act as support. 

Similarly to the daily time-frame, both the RSI and MACD are moving upwards, supporting the continuation of the upward movement.

Chart By TradingView

NEAR wave count

Cryptocurrency trader @KRMA_0 tweeted a NEAR chart, stating that the token could soon go ballistic.

Source: Twitter

The wave count indicates that NEAR is in wave three of a bullish impulse. 

The deviation and reclaim of the $7 horizontal area (green circle) suggests that the token completed wave two, which is corrective. 

The first potential target for the top of wave three is at $23.1. The target is found by giving waves 1:3 a 1:1.61 ratio (white)

Afterwards, a potential target for the top of the entire movement would be at 30.5, created by the 4.2 external Fib retracement (black) of the most recent drop.

Chart By TradingView

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here

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