News

NEO has been one of the most valuable smart contract platforms to date. The project currently occupies the number 15 spot between cryptocurrencies according to the market cap and is down from its high of 10 billion USD to around 1 billion USD currently. NEO is unique in the sense that it utilizes a high throughput and scalable chain secured by the dBFT consensus mechanism.

Currently one of the main drawbacks of the platform is that it is currently very expensive to deploy NEP-5 assets as a smart contract for that function costs around 3000 USD according to current prices. This was intended as a positive barrier for entry to weed out scams, but this ‘feature’ is currently under heavy discussion.

Recent news included that NEO smart contracts now support Goland next to the already supported C# and Phyton programming languages. A vulnerability bounty program was launched next to several QoL improvements in the recent releases.

Currently the major thing that might hold back NEO from a rally (aside from Bitcoin’s undecided short-term fate) is the blanket ban issued by the Chinese government on cryptocurrencies. This is especially critical for NEO as it is a China based project.

Charts

Here we take the weekly Binance NEO/BTC pair to get an overall picture on the market. What we can conclude is that the chart is nearing the historical bottom, while being in a typical accumulation range.

The long-term declining trendline that has been lasting from the beginning of 2018 has been broken during September with an overall growing volume showing a potential capitulation, but this doesn’t mean that we can’t revisit the bottom again, which is around 0.0021 BTC / NEO.

Here would be a good start in case you were looking to average in into NEO, but be advised to set stops since as soon as the bottom breaks we will see uncharted territories (in Binance’s case). A break above 0.0033 BTC would potentially mean that we are entering a bull market again.

The weekly NEO/USD chart from Binance shows us that the bottom could be potentially in with a project that’s fundamentally solid considering that this is the last line of defense on the USD pairing since there are no other support areas left.

The only thing that bothers us is the falling volume in the past few weeks, but at least the first bounce after the long-term declining trendline accounted for hefty volume.