⚡ Easily Trade – Apple, Microsoft, Tesla and Google Stocks – Open a FREE Account Here


NEAR Protocol Soars on AI Hype and Ecosystem Growth

NEAR Protocol Soars on AI Hype and Ecosystem Growth

NEAR Protocol (NEAR), the leading AI-focused cryptocurrency by market cap, has surged over 6% in the previous session and a whopping 30% this week, significantly outperforming the broader market. This rally reflects a growing interest in AI projects, with the entire sector’s market cap rising 2.6% on Tuesday.


BrokerReviewRegulatorsMin DepositWebsite
🥇Read ReviewASIC, FSA, CBI, BVI, FSCA, FRSA, CySEC, ISA, JFSAUSD 100Visit Broker >>
🥈Read ReviewFMA, FSAUSD 50Visit Broker >>
🥉Read ReviewFSCA, CySEC, DFSA, FSA, CMAUSD 0Visit Broker >>
4Read ReviewCySEC, MISA, FSCAUSD 5Visit Broker >>
5Read ReviewFCA, CySEC, FSCA, SCBUSD 100Visit Broker >>
6Read ReviewFCA, FINMA, FSA, ASICUSD 0Visit Broker >>
7Read ReviewCySEC, FCA, FSA, FSCA, Labuan FSAUSD 100Visit Broker >>
8Read ReviewCBCS, CySEC, FCA, FSA, FSC, FSCA, CMAUSD 10Visit Broker >>
9Read ReviewASIC, CySEC, FSCA, CMAUSD 100Visit Broker >>
10Read ReviewIFSC, FSCA, ASIC, CySECUSD 1Visit Broker >>

Analysts Bullish on AI Crypto Boom

Alex Becker, a well-known market commentator, predicts a surge for AI coins, comparing their potential to the rapid rise of meme coins. He suggests AI cryptos could see a “lightning-fast” 5x increase from their recent highs.

Crypto John emphasizes the buying opportunity presented by current AI crypto prices. He believes investors are missing out due to fear instilled by the recent market downturn.

NEAR’s Surge: Reasons and Speculation

The reasons behind NEAR’s exceptional performance are multifaceted:

  • Hot Protocol Launch: The recent beta launch of Hot Protocol, which integrates NEAR’s technology with Telegram, has garnered significant attention. This tool allows Telegram users to create self-custodial wallets for various blockchains without seed phrases.
  • NEAR’s Hiring Plans: NEAR Protocol’s announcement to hire AI engineers in the coming months suggests a continued focus on AI development.
  • Analyst Speculation: Analyst Dixit believes NEAR market makers may have inside information, hinting at a potential price move towards NEAR’s previous high of $9.

NEAR Outshines Ethereum on Multiple Fronts

While the exact cause of NEAR’s surge is debatable, it’s undeniable that the protocol is outperforming Ethereum in several key areas:

  • Price Performance: NEAR’s price has skyrocketed 39% in the last week, compared to Ethereum’s 6% decline in the last month.
  • Active Addresses: NEAR boasts significantly higher active addresses (2.3 million) compared to Ethereum’s 406,200, indicating greater user activity.
  • Transaction Speed and Cost: NEAR’s Proof-of-Stake consensus mechanism facilitates faster and cheaper transactions compared to Ethereum’s current state.

Can NEAR Maintain Momentum?

NEAR’s impressive momentum raises questions about its ability to sustain its lead over Ethereum:

  • Market Cap Growth: NEAR’s market cap has exploded, propelling it from outside the top 25 to its current position at number 17, with a valuation of $7.36 billion.
  • Network Fees: NEAR’s network fees have jumped 51% in the last 30 days, potentially rivaling Ethereum’s revenue stream in the near future.
  • Development Activity: While NEAR’s development activity is on the rise, Ethereum still holds the edge in terms of code commits for new features and security.

The Verdict: NEAR vs. ETH

With its current momentum, NEAR poses a serious threat to Ethereum’s dominance, particularly in terms of price and on-chain metrics. However, Ethereum’s established developer base and potential future improvements could challenge NEAR’s position in the long run.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
Related Articles