Near Protocol Drops 23% Amid Geopolitical Tensions, Fractal Suggests Potential Reversal

The cryptocurrency market is currently experiencing bearish volatility due to escalating geopolitical tensions between Israel and Iran. Ethereum (ETH) has seen a significant drop from its 24-hour high of $2,680, now hovering near $2,470. This volatility has also affected altcoins, with Near Protocol (NEAR) being one of the notable names facing a steep pullback. NEAR has dropped over 10% in the last 24 hours, extending its monthly decline to 23%.

Despite the grim outlook, a deeper technical analysis suggests a potential bullish setup for NEAR. This setup mirrors a historic fractal from NEAR’s past, which could indicate a significant price reversal. Looking back at late 2021, NEAR formed a descending broadening wedge, a pattern typically considered bullish, followed by a bottoming structure at key support. This pattern was followed by a breakout and a surge of over 1180%, peaking near $20.

Currently, NEAR is showing an almost identical fractal setup. It is forming a descending broadening wedge with multiple rejections at the upper trendline and revisiting the green support zone around $2.12, exactly where its last historic move began. If NEAR holds above this support zone and confirms a breakout above the descending wedge, it may follow the same explosive path, with potential upside targets back toward the $18–$20 range, similar to the previous cycle.

However, traders should remain cautious and wait for clear confirmation. As long as NEAR remains within the wedge, downside risk remains, especially with broader macro uncertainty in play. The cryptocurrency market is known for its volatility and unpredictable nature, but specific patterns like fractals can provide insights into potential market trends. The fractal pattern observed in NEAR's price movements suggests that the cryptocurrency may be gearing up for a bullish reversal. This pattern involves a period of sideways trading followed by a sharp increase in price, similar to previous instances where NEAR experienced significant upward movements.

While fractals can provide valuable insights, they are not foolproof indicators. Market conditions can change rapidly, and other factors such as regulatory developments, technological advancements, and market sentiment can also influence the price of NEAR. Therefore, investors should exercise caution and conduct thorough research before making any investment decisions based on fractal patterns. In conclusion, the fractal pattern observed in NEAR's price movements suggests a potential bullish reversal. However, investors should remain vigilant and consider other factors that could impact the market. As with any investment, it is crucial to conduct thorough research and exercise caution when investing in cryptocurrencies.