The NEAR Protocol (NEAR) is still moving up after a strong rally in the previous session as the market cheers Terra’s integration into its ecosystem, which the Stablecoin TerraUSD (UST) will bring into the network. At the time of writing, NEAR / USD is trading at around $ 13.96, up over 10% in the past 24 hours.
The NEAR token arrived on Thursday after partnering with Terra All time high, especially since the UST is rapidly gaining popularity in stablecoins. Recently it passed DAI and became the fourth largest stablecoin after Market capitalizationwho at DeFiBecame increasingly popular with consumers across blockchains.
In summary, NEAR Protocol offers a Layer 1 dApp development ecosystem, much like Ethereum, but offers due to its PoSConsensus mechanism called Nightshade, which offers dynamic scalability and far more stability in terms of gas charges, greater efficiency. In addition, it harnesses the power of its community for cloud computing and offers an attractive ecosystem for Web 3.0 projects that are intent on true decentralization.
How will the DeFi capabilities of NEAR Protocol be enhanced by the TerraUST integration?
While it ranks 32nd in terms of DeFi TVL according to the data on DefiLlama with only two protocols hosted on its network, the NEAR protocol saw TVL grow nearly 40% since the previous session after the inception of the UST stablecoin. With the NEAR-based DEX NearPad and stablecoin and wrapped assets swap product Aurora, its users can now deposit UST liquidity on their respective platforms to earn incentives that the entire NEAR community can benefit from.
The partnership can further develop the DeFi ecosystems in both the NEAR and Terra networks in the future, so that both communities discover more use cases for stablecoins and the liquidity for the UST. can significantly increase coin. Analysts expect further growth in NEAR’s DeFi capabilities, especially following the recent launch of the Aurora EVM solution, so we can expect more news in the coming months about integrations and partnerships like this one that could support the NEAR token significantly.
NEAR / USD technical analysis
According to the host of the popular YouTube show Coin Bureau, Guy, the NEAR Protocol native token could see another strong rally before the end of the bull market. He praised the scalability and stability of the network compared to that of Ethereum and how it can be a far more lucrative platform for developers on which dApps can be created at lower cost.
On the NEAR / USD 4 hour chart, we can find a strong bullish bias between the moving averages and the MACD. However, the momentum indicator also indicates some interest from sellers.
The price of NEAR Protocol is holding above the pivot point at $ 11.53 and appears to be preparing for an immediate resistance test that will soon come up at $ 14.98. We have to see if there is buying pressure to break above this level towards new ATHs by the second resistance at $ 20.96.
Source: Crypto News Deutsch