NEAR has continued to rise despite a 2% market decline Today. According to Coin geckoNEAR, the platform’s native token, has seen gains of almost 23% since last week. This is largely due to positive developments in the chain, which show that the altcoin has sufficient clout to maintain its current position on the market.
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Recently, NEAR announced that Nightshade 2.0, NEAR’s critically acclaimed “new sharding design,” was deployed to the platform’s mainnet, improving the already robust and reliable system that users have enjoyed for years.
Nightshade 2.0 brings new light to the validators
According to a recent blog postnetwork upgrades have brought stateless validation, the new sharding architecture for the protocol. This new architecture improved the network’s single-shard performance. NEAR has already deployed six shards on the network with a goal of ten by the end of the year.
It also reduces the hardware requirements to become a validator. Nightshade 2.0 improved the validator experience by removing the need to track all of NEAR’s shards, fueling the growth of the validator side of crypto.
“Specifically, the new sharding implementation paves the way to significantly increase the coin’s already fast transaction throughput,” said Bowen Wang, Head of Protocol at NEAR One.
According to Illia Polosukhin, co-founder of NEAR Protocol and CEO of the NEAR Foundation, the network upgrade “resolves the fundamental bottleneck on most L1s about how to scale while maintaining both usability and security.”
Rejection candle shapes mark the beginning of the near-correction phase
With the market dodging today’s trading activity, NEAR is currently trading on a red candle as the token is rejected by the $5.2 ceiling, shifting short-term momentum to the bears. This makes short-term losses inevitable.
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With the market dip shifting momentum towards the bears, this will continue to impact the crypto’s performance if the bearishness continues. However, the recent developments of NEAR may curb fear, uncertainty and doubt as the recent development promotes long-term network growth.
Once Nightshade’s effect matures, NEAR will have a solid foundation on which to build investor confidence.
Right now, NEAR has two possible routes it could take in the medium term. If the market recovers from the current dip, it has the potential to break through $5.7 in the coming weeks. However, if the dip continues to worsen day by day, NEAR could return to $3.8, while the worst case scenario could reach $3.0 if the situation worsens.
For now, investors should exercise caution by keeping an eye on broader market movements as any fluctuation could impact the altcoin’s performance.
Featured image of Rebank, chart from TradingView