Near Protocol (NEAR) gained more than 12% in 24 hours to peak above the $19 mark. Moreover, the alt stayed 35% up over the past seven days. Though it fell slightly, NEAR approached its January ATH of $20.44 (CoinGecko data).
Near Protocol is among the few digital assets bucking the somewhat downtrend in the crypto market. Let’s evaluate the alt’s price actions and what they mean for cryptocurrency enthusiasts.
About Near Protocol
Near Protocol is among the many decentralized application platforms in the crypto market, like Solana or Ethereum. According to its official website, Near Protocol is a Dapp network that can change systems’ designs, how developers build apps and web operations.
It aims to offer an intuitive ecosystem that is to use and scalable. It terms itself as the only community-operated cloud that can power Web3. While most platforms might disagree, NEAR’s white paper states that its network can expand while staying decentralized. It adds that Near Protocol develops an updated business model for entrepreneurs and developers.
Why is NEAR Surging
Several reasons explain NEAR’s latest price movements. Let us evaluate.
- $350 Million Fundraising
Tiger Global led Near Protocol’s recent funding round and enticed investments from recognized firms such as FTV Ventures, Republic Capital, ParaFi Capital, Hashed, and Dragonfly Capital. That follows the $150M funding round (led by Alameda, Jump, and Three Arrows Capital three months ago).
Multiple alternatives fight for market share as Ethereum battles with network congestions and high gas charges. One vital aspect is attracting developers and individuals to utilize the platform, and funds set for developers are among the ways to achieve that. For instance, Near Protocol will use a portion of the raised move to fund projects within its ecosystem.
- Barry Silbert Announced His Firm’s NEAR Holdings
Digital Currency Group CEO Barry Silbert tweeted that NEAR ranked 3rd in his company’s crypto holdings. Besides Near Protocol, DCG holds Bitcoin, Ethereum, Horizen, and Zcash.
- NEAR Stablecoin Speculations
Cryptocurrency price action often reacts to rumors. Crypto projects do not have to adhere to reporting regulations as, for instance, SEC-certified securities. This lack of transparency is among the reasons prices can hike amid the slightest whispers.
Decrypt revealed a crypto trader’s newsletter that speculated NEAR would introduce a dollar-tied stablecoin, USN. Decrypt added that there are scant pieces of evidence supporting the clams. Nevertheless, the rumors fueled NEAR price higher.
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