Will NEAR retrace further after reaching a new all-time high?
The cryptocurrency market started the new year in the same fashion it ended in 2021, with some coins performing well while others continued to underperform.
The cryptocurrency market has been experiencing mixed performances over the past few weeks. Bitcoin and the other major cryptocurrencies have been underperforming while some altcoins have been rallying.
Bitcoin is still trading below the $50k level and has found it hard to surpass the major resistance level above $48k. Ether is trading above the $3,800 mark and continues to struggle to top the $4k resistance level over the past few weeks.
However, one of the top performers in the market in recent weeks is NEAR. The native token of the Near protocol reached a new all-time high of $17.60 a few hours ago after adding more than 20% to its value over the past few days.
However, NEAR’s price has dipped by more than 5% since it reached the new all-time high price. The cryptocurrency’s value could drop below the $14 mark over the coming hours as it retraces further from the all-time high.
The broader market’s current bearish trend could affect NEAR’s performance, and its value could drop further over the coming hours.
Key levels to watch
The NEAR/USD 4-hour chart is still bullish despite the cryptocurrency’s recent dip. The technical indicators show that NEAR is performing excellently after reaching an all-time high but could retrace further unless the bulls regain control.
The MACD line is above the neutral zone, indicating a strong positive momentum. Meanwhile, the RSI of 55 shows that there is still buying pressure on NEAR at the moment. If the current market momentum is maintained, then NEAR’s value could drop below the first major support level at $15.63 over the coming hours.
In the event of extended bearish performance, NEAR could dip towards the $13.40 support level soon. However, if the bulls regain control, NEAR would set a new all-time high above $18 over the next few hours. NEAR will need the support of the broader cryptocurrency market if it stands a chance to break the $20 psychological level soon.