NEAR Protocol Rises 4% After Major Price Dip, User Growth Strong
Even amid recent price fluctuations, NEAR Protocol is now the second most utilized L1 blockchain with 46 million monthly active users, indicating robust fundamentals despite market instability.
Highlights
- NEAR-USD faced a major correction, dropping from $2.50 to a low of $2.18, a 12.8% fall in just 24 hours.
- This dip was associated with geopolitical tensions, particularly due to Israel’s military actions in Iran, which triggered a wider market sell-off.
Market Context
The conflict ignited a wave of selling in the cryptocurrency market on Friday, impacting NEAR Protocol despite its strong uptake.
The platform has positioned itself as a leading Layer-1 technology, overtaking well-known rivals such as Ethereum and Binance Chain in terms of monthly active users. This shift may indicate a trend toward platforms that offer lower fees and enhanced usability.
Market analysts emphasize that while NEAR’s recent price volatility is notable, its core fundamentals remain sound, with the token trading below significant market indicators.
The platform’s focus on user-friendly design, including features like account abstraction, enhances its appeal to developers and users alike, especially as it ventures into AI technologies and Web3 applications.
Looking ahead, NEAR’s price direction seems uncertain, with immediate support at $2.20 and resistance at $2.30. However, its impressive user growth suggests a chance for price recovery should market dynamics shift positively.
