Near Protocol [NEAR] has recorded a 3.80% decline in the last 24 hours, with its current value standing at $3.38.
This negative movement extends the downward trajectory NEAR has been on for the past month, marking a significant 36.94% decrease.
Assessments reveal conflicting indicators from various market measures, possibly stalling a potential upturn or leading to further decreases in the market.
NEAR Strives for Reaching Higher Thresholds
Following a prolonged period of trade within a consolidation corridor spanning a month, with prices fluctuating between $3.50 support and an $8.30 resistance level, NEAR recently breached its support, embarking on a downward trajectory.
Nonetheless, the token is making efforts to reclaim its support, currently trading within the consolidation range and setting a new peak.
Alternatively, this modest price retracement could signify NEAR establishing a lower peak before continuing its descent.
CryptoCrypto has examined additional contributing factors that could sway the price trajectory in either direction and discovered a divergent sentiment prevailing in the market.
Diverging Market Sentiment Sparks Uncertainty
Several market indicators point towards mixed sentiment. Presently, the Funding Rate suggests that sellers are backing the market.
This inference is based on the negative Funding Rate of -0.0170, indicating a strong seller conviction in NEAR’s imminent price drop.
Moreover, there have been more instances of long position liquidation compared to short positions across all time frames. In the recent 24-hour period alone, long contracts worth $137,140 were forcefully shut, eclipsing the $24,170 in short liquidations.
This stark contrast suggests that bears have the upper hand in NEAR’s sphere, heightening the probability of further price declines.
However, the Taker Buy-Sell Ratio hints at bullish activity persisting, with buying volume outstripping selling volume in the previous 24 hours.
This ratio is gauged on a scale where 1 indicates a neutral state. A value above 1 implies heightened buyer activity, while a figure below 1 signals seller dominance.
NEAR’s current Taker Buy-Sell Ratio is noted at 1.004, indicating a slightly bullish market trend in the last 24 hours.
Decrease in Active Addresses Aggravates Pressure
A notable decline has been observed in the quantity of Daily Active Addresses on the NEAR network.
When an asset’s value is diminishing, a reduced number of active addresses implies dwindling network engagement as traders potentially unwind their positions.
Data from Artemis indicates a substantial reduction in active addresses from 4.2 million to 3.0 million between February 13 and the most recent data snapshot.
This decline underscores the exit of sellers from the market, contributing to the overall decrease in active addresses.
Should the count of active addresses continue to dwindle, downward pressure on the asset may intensify as more sellers enter the market.