- Near Protocol price formed a double-top pattern on the four-hour chart.
- The platform welcome the Open Forest climate project this week.
The Near Protocol price retreated sharply as cryptocurrency prices retreated. The token crashed to a low of $3.67, which was the lowest level since July 18th of this year. It has dropped by about 23% from its highest point this month, bringing its total market cap to about $2.8 billion, making it the 28th biggest coin in the world.
Open Forest launches on Near
Near Protocol is a well-funded blockchain project that hopes to become the biggest alternative to Ethereum and other smart contract platforms. The proof-of-stake project uses a technology known as nightshade sharding, that helps to boost its throughput by breaking the size of blocks into small pieces.
Near Protocol’s ecosystem is growing even as the blockchain industry faces major headwinds this year. For example, the platform has been selected by Sweatcoin, a leading move-to-earn project that has millions of users globally. Its SWEAT coin cryptocurrency will be launched in September this year.
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Near Protocol also welcomed the Open Forest Protocol, a regenerative finance (ReFi) project that uses smart contracts to transform the value of forest. The platform will enable developers to build projects that seek to improve sustainability. In a statement, the platform’s creator said:
“The mobile app works offline, enables geo-fenced data collected, and provides a single-directional feed of information from forests to the NEAR blockchain. This app is the first of many tools we will provide for forest project managers to report on what is happening within their forests.”
Near Protocol’s price is falling because of the broad sell-off in cryptocurrencies. After soaring to $1,600 last week, Ethereum has dropped to about $1,410. Similarly, Bitcoin has dropped to $21,150 from last week’s high of over $24,500.
This decline is also in line with the sell-off of American indices like the Dow Jones and S&P 500. They have dropped as investors remained concerned about the disappointing earnings.
Near Protocol price prediction
The four-hour chart shows that the NEAR price formed a double-top pattern at $4.78 last week. In price action analysis, this pattern is usually a bearish sign. The coin managed to move below the chin of this pattern at $4 on Tuesday.
At the same time, the 25-day and 50-day moving averages made a bearish crossover pattern while the Relative Strength Index (RSI) is approaching the oversold level.
Therefore, the outlook for the Near Protocol price is bearish, with the next key support being at $3. A move above the chin of the double-top at $4.05 will invalidate the bearish view.
