NEAR Protocol Price Surges Over 30% Amid Governance Proposal and Grayscale AI Fund Launch

NEAR Protocol (NEAR) has experienced a significant price surge of over 32% in the past week, driven by a combination of factors including a new governance proposal and its inclusion in Grayscale’s newly launched Decentralized AI Fund.

Governance Proposal Sparks Price RallyThe NEAR Protocol Foundation, in collaboration with Gauntlet, has unveiled a new governance proposal that aims to enhance decentralization, accountability, and overall ecosystem performance. This announcement led to a 10% increase in NEAR’s price value.

The proposal introduces a stake-weighted voting system, replacing the traditional one-person-one-vote approach. This new system grants larger stakeholders more influence in the decision-making process. Additionally, the proposal outlines the establishment of a Screening Committee to vet delegates and grant proposals, as well as an Endorsed Delegate Mechanism defining key governance roles and responsibilities.

Grayscale’s AI Fund Inclusion Boosts NEAR

Grayscale, a leading crypto asset manager, has launched a new fund focused on decentralized AI projects, which includes NEAR Protocol as one of its key holdings. The Grayscale Decentralized AI Fund LLC aims to capitalize on the growing convergence of AI and blockchain technology.

NEAR, along with other tokens in the fund such as Filecoin (FIL), Livepeer (LPT), Render (RNDR), and Bittensor (TAO), saw significant price increases following the announcement. This development highlights the growing interest in blockchain-based AI solutions and their potential to address challenges associated with centralized AI systems.

World’s First NEAR Protocol ETP Launched

Adding to the positive momentum, Valour, a subsidiary of DeFi Technologies, has launched the world’s first exchange-traded product (ETP) for NEAR Protocol on Sweden’s Spotlight Stock Market. This new financial instrument offers investors exposure to NEAR’s $6.8 billion market cap, potentially widening adoption and attracting more capital to the ecosystem.

NEAR/USD Technical Analysis and Price Outlook

NEAR’s price action shows a strong V-shaped recovery from the $4.28 support level, with the token surging 41% within a fortnight to trade at $6.07. The asset is currently challenging the upper boundary of the Bollinger Band indicator, suggesting strong buying pressure.

Technical analysts point to a potential flag pattern formation, with a possible 30% growth potential before facing major resistance. A bullish breakout from this pattern could potentially drive NEAR’s price above the $16.5 mark.

As of the latest data, NEAR is trading at $6.18, marking a 34.39% surge in the past week. The token’s market cap has increased by 7.93%, while its 24-hour trading volume has surged by 85%.