The Near token price has staged a strong recovery after bottoming at $4 earlier this month. It has risen for ten straight days for the first time. Its previous happened in September last year when it jumped for eight straight days.
The Near token price jumped to a high of $6.50 on Wednesday, its highest point since June 12th. It has soared by more than 60% from its lowest point this year.
Near’s rebound happened as the open interest in the futures market continued rising. Data by CoinGlass shows that the open interest rose to over $207 million, up from this month’s low of $126 million.
Open interest is an important figure in the futures market because it shows the volume of unfilled orders. A higher figure is usually a positive sign that there is demand for a cryptocurrency or any other asset.
The same trend is happening in the spot market where the daily trading volume has risen. It jumped to over $542 million in the past 24 hours, higher than the $362 million it handled on Tuesday and the $244 million it processed on Monday.
Another fundamental is that Near Protocol’s staking yield has risen recently. It moved to 9.17%, making it one of the biggest yielders in the industry. A 9.17% staking yield means that a $100k investment yields over $9,000 annually all factors constant. Near has a staking ratio of almost 50%.
Still, a key issue for Near Protocol is that it is not doing too well. Data by DeFi Llama shows that the total value locked (TVL) in the network has jumped to over $291 million. This is a tiny number for a platform whose market cap stands at over $7 billion, making it the 17th-biggest token in the industry,
In contrast, Arbitrum, the biggest layer-2 network in the world with over $3.15 billion in assets has a market cap of over $3 billion. Similarly, Polygon, a pioneering layer-2 network is valued at more than $5.4 billion while it has more users, developers, and assets.
