NEAR Protocol Surges 5.38% as Ecosystem Activity and Development Rise

NEAR Protocol [NEAR] is showing signs of renewed network vitality, with key metrics pointing to heightened ecosystem traction. HOT Wallet alone handled 2.9 million transactions in the past week, while core infrastructure and Ref Finance added 122K and 112K, respectively. Stablecoin volumes also gained attention, with Tether recording 42K transactions. This uptick reflects increasing user interaction across DeFi and retail fronts. As of this writing, NEAR traded at $2.67, up 5.38% on the day. This surge in ecosystem usage may prove pivotal in sustaining the asset’s current momentum.

According to Santiment, NEAR’s development activity is rising after a prolonged decline through late June and early July. While still below May highs, this recovery could signal builder re-engagement, often a precursor to renewed investor confidence in protocol-driven ecosystems. However, the uptick remains modest, and long-term momentum will depend on whether developer output continues in the coming weeks.

NEAR has established a classic double bottom structure between $1.81 and $3.35, at press time, with the price hovering just beneath the mid-range resistance at $2.71. The formation often signals a bullish reversal, and the recent rally toward resistance strengthens this thesis. However, the Stochastic RSI has reached extreme overbought levels around 97, suggesting that upside could be temporarily capped. Traders may anticipate either a breakout above $2.71 or a pullback toward $2.40. Therefore, price action in the coming days will be critical in confirming NEAR’s direction after months of sideways movement.

Funding Rates on Binance flipped positive this week and sat at +0.01%. While shallow, the shift is notable after months of negative prints. Positive Funding Rates indicate traders are paying to hold long positions, often aligning with bullish sentiment. This change, if sustained, could support further price gains, but remains fragile at current levels.

CoinGlass Heatmaps show notable liquidation build-up around the $2.70 mark, a level NEAR is currently challenging. These clusters suggest that a decisive move above this zone could trigger a wave of short liquidations, adding momentum to the rally. However, a failed breakout might embolden bears and send the price back to the $2.50 region. With Open Interest rising and RSI overheated, the $2.70 battleground is critical to NEAR’s short-term direction.

NEAR’s renewed ecosystem activity, rising development efforts, and improving sentiment in both spot and derivatives markets form a compelling narrative. However, with the price nearing critical resistance and momentum indicators flashing caution, bulls must push past $2.71 to confirm a breakout. Until then, the token remains range-bound and vulnerable to rejection.