Both as a chain and as an asset, the NEAR Protocol has developed dramatically in recent months. However, the crypto-market has been particularly cruel in May, with practically every token falling and attempting to recover their losses.
However, as circumstances improve, “NEAR’s rally seems a bit near”. Especially as it is set to make an impact on the cryptosphere.
NEAR’s rally coming soon…
NEAR hasn’t recovered at all since the disaster earlier this month. Instead, it has fallen farther down the charts, trading at $6.15, much lower than the $6.4 low reached during the 11 May meltdown (ref. NEAR price action image).
On the contrary, the chain is performing better than expected in terms of DeFi.
This is due to NEAR’s preference in the DeFi market, which has received backing from crypto-space. Aurora Labs, the company behind the EVM, which is meant to scale protocols on the NEAR chain, recently launched a $90 million fund to help dApps develop.
NEAR is also aiming to get international notice by organising a fundraiser for humanitarian relief in Ukraine.
Users will receive Sweatcoin as part of the Walk for Ukraine challenge, which is being run in collaboration with SweatEconomy. This will be given to Ukraine to aid the victims.
The parabolic SAR indicated the first firm evidence of an upswing, which prompted the first hint of prospective recovery on the charts. The ADX picking up the strength can support this.
This might have a big impact on investor behaviour on the Rainbow Bridge, where withdrawals have been outnumbering deposits.
As the month of May began, Ethereum has seen an increase in withdrawals. During April, however, the bridge saw substantially heavier deposits.
Thus, investors looking to jump in on the opportunity are better off waiting out until bullishness from investors becomes more apparent.
Furthermore, risk-adjusted returns on the asset are at the lowest they have been in forever, lingering at a negative number of 5.28. This has put investors in a tough spot as their investments might not reap the profits they would expect it to.