The price of Near Protocol (NEAR) has surged past the previous resistance, what comes next?

The Near Protocol (NEAR) price has risen from the previous significant resistance area and is trading within an uptrend pattern. A breakout will confirm that the correction phase has concluded.

Weekly prospects.

The Near Protocol (NEAR) price broke above the crucial resistance level at $2.7 during the week of December 18 to 24, 2023, with a large bullish candle. This is a highly positive development as it indicates the end of the previous long-term downtrend, and NEAR's price may be starting a new uptrend.
Although the NEAR price retraced after reaching a new yearly high of $4.65 in the last week of 2023, it bounced back from the $2.7 region the previous week, forming a long wick below (green arrow). This is a sign of buying pressure, indicating a shift in sentiment from selling on rallies to buying on dips.
The weekly RSI (Relative Strength Index) has stopped declining and is above 50, suggesting that the bullish camp is attempting to make a comeback.

Uptrend pattern.

The NEAR price has been trading within a descending wedge pattern since the mentioned yearly high. This is an uptrend pattern, often leading to breakouts in most cases.
After bouncing from the wedge's support line on January 23rd (green arrow), the NEAR price is currently attempting to break above the wedge.
The daily RSI has broken above the resistance line and is sloping upwards, indicating that the bullish camp has regained control in the short term.
Moreover, such a breakout in the RSI often leads to a similar breakout in price action.
Therefore, there is a likelihood that the NEAR price will break above the current pattern and rise towards the next horizontal resistance at $3.6.



The most likely scenario suggests that the NEAR price will break above the wedge and move higher. The immediate target for this upward movement is $3.6, with a further potential target at $4.65.
This bullish outlook would be invalidated if the NEAR price breaks down below the $2.7 region on the weekly timeframe.