Neo, formerly Antshares, was dealt a blow when Chinese regulators decided to ban ICOs (initial coin offerings) on the heels of public outrage at the n
Neo, formerly Antshares, was dealt a blow when Chinese regulators decided to ban ICOs (initial coin offerings) on the heels of public outrage at the number of so-called pyramid schemes in the country. After falling 40% by the end of the day’s trading on the 4th of September, Neo appears to be on the mend.
The Neo ICO is a general purpose blockchain, for smart contracts, and has been made available in several languages (Java, Go and C#). A recorded high of $58.50 by the middle of August had plummeted to ‘just’ $13 by the end of September 15. Cryptocurrency resurgence has undoubtedly helped Neo recover.
Neo is now up 21%, and while it is still nowhere near its mid-August high, the rise is a definite improvement on the near 40% drop that has been seen over the last month. These positive increases need to be maintained, however, as volumes are still low and fall below the average. Investors are starting to bite again as prices rise but this needs to be kept up if the neo is to find itself in a cycle of self-sustenance.
Neo likely bullish?
Since NEO started its life in China, it already adheres to the new regulations, meaning that it is associated with functionality and premium quality. It is likely that NEO will soon become China’s leading platform.
A descending channel is the price movement between two downward lines. An upside break in normally a clear indicator of trend change from bearish to bullish. With NEO in the unique position that it finds itself in, an upside break looks as good as done.
NEO looks ready to break free of the 50-day average level of $30; a break higher would mean the doors open at $45.
A negative is that 100-moving average – only an end of day close that fell below this would cancel the bullish view.