NEAR Protocol's Market Cap Rises 4.47% to $2.55 Billion Amid Bullish Chart Pattern

NEAR Protocol [NEAR] has been exhibiting signs of a potential rebound, with its market capitalization increasing by 4.47% to reach $2.55 billion. This rise indicates a cautious optimism among investors. However, the 24-hour trading volume for NEAR dropped by 15.66% to $148.48 million, suggesting weak trader commitment and a potential lack of strength needed for a sustained rally.

At the time of writing, NEAR was trading at $2.12, up by 4.26%. The cryptocurrency's chart revealed a well-defined inverse head-and-shoulders structure, which is often a sign of a bullish reversal. The neckline of this pattern sits just above $2.14, with notable support levels at $2.06 and $1.95. If the price breaks above the neckline, it could fuel a 14.84% move to the projected target of $2.43. The symmetry of the pattern, with clearly formed shoulders and a central low, enhances its reliability. However, traders should remain cautious as this bullish setup requires strong volume confirmation. Without such a catalyst, the rally could stall, and the pattern may lose its significance.

Liquidation data underlined growing pressure on short sellers. Over the last few sessions, short liquidations hit $31.42k, far surpassing long liquidations, which totaled just $10.46k. This imbalance in liquidations can act as a hidden driver of momentum as forced exits from short positions create sudden surges in price. Additionally, social metrics highlighted that NEAR is regaining visibility among retail traders. The social volume climbed to 6, while dominance rose to 0.039% – marking the highest activity in recent weeks. While these numbers remain moderate, they underlined a shift in sentiment that could accelerate if price action confirms the bullish pattern.

On-chain development metrics revealed a slight slowdown in builder activity. NEAR’s development activity score dropped from a peak of 27.68 to 19.48 by 12 April. Although this decline may signal a temporary pause after intense upgrades, it did not yet suggest a reversal in trend. In fact, developers remain actively engaged and NEAR continues to outperform many projects in its category in terms of code-level contributions. Therefore, any rebound in activity could further reinforce investor confidence in NEAR’s long-term viability.

NEAR Protocol is shaping a bullish structure that could set the stage for a breakout. The inverse head-and-shoulders pattern highlighted a potential 15% move, while short-side liquidations and rising social engagement hinted at growing momentum. However, the real test lies in breaking the $2.14 neckline with strong volume. If this happens alongside renewed developer commitment and rising interest, NEAR could be on track for a significant rally towards $2.40.