Solana was in the news recently after she addressed the hack this week by emphasizing the need to improve wallet address security. Notice the NEAR protocol immediately and now take action to improve security for all NEAR wallet users.
In fact, NEAR recently revealed that it conducted a security review of the wallets earlier this week. This includes searching for potential security vulnerabilities that may affect users. The relevant security update confirmed a vulnerability related to wallets whose SMS or email retrieval data was handled by a third party.
On 6/6/2022 a wallet error was reported. There was a potential vulnerability in the security of wallets that use email or SMS retrieval during data transmission to a third-party service. The error was corrected on the same day and no accounts were hacked.
– NEAR | . protocol NEARCON.org | Lisbon | September 11-14 (NEARProtocol) August 4, 2022
The protocol is keen to move away from the SMS and email retrieval method in an effort to enhance wallet security. New titles will no longer use this method and NEAR has encouraged existing users to change their security settings.
The NEAR protocol’s decision to focus on security and protecting users’ addresses may have given a boost to investor confidence. In fact, NEAR rose 17.5% on August 5, within hours of the security update being released.
NEAR’s short-term price action has been constrained by an ascending resistance line. On August 5, a price rally retested the resistance line and it managed to cross above the same level before encountering some friction. The price has rebounded a bit since then.
The current NEAR bounce is also not surprising given that the rally briefly pushed the price into overbought territory.
big whale splash
The cryptocurrency’s strong bullish rally on Friday was supported by a strong increase in its market capitalization. The latter grew by more than $500 million during the same trading session.
When such large sums do not move quickly, this explains why the recent pullback is not so clear.
The market capitalization, at the time of writing, was steady above $3.8 billion. While significant inflows have supported the breakout of resistance, they may also support higher price levels. However, the scale may indicate otherwise.
Why a stronger uptrend might be around the corner
Friday’s price rally and significant inflows of market capitalization were underpinned by the second largest volume surge in the past four weeks. The last time the volume recorded such a high was on July 19 and 20.
This was followed by a slight bounce, which was followed by another upward movement that pushed the price higher. The NEAR weighted sentiment gauge may be in favor of another bullish result.
Interestingly, the weighted press time reading of -2.29 was the lowest in the past four months. This indicates that the price may be due to more upside. Only time will tell if this is really the case.