After my last report the NEO market failed to hold its support levels against Bitcoin and the prices experienced a decent drop, putting us in the price zone we saw at the start of the year. Many higher risk traders will be looking at the market realising we found strong support at around 0.0038 btc – 0.004 btc.
It is important to notice that the market is still in a bearish down trend versus Bitcoin and gains on vs FIAT currencies will be capped until we find a reversal here. I am expecting a bit of a bounce here, whether it will turn out to be a dead cat bounce, only time will tell.
Resistance is currently solid above 0.005 btc, and most safe trades should be off the table for now. A safer entry into the market would be when we get a consolidation above above the 20 MA on the 1 Day candle chart.
There has been a ton of development on the NEO blockchain as well as plenty of fundamental developments around the project. It will be interesting to see what happens on the market in the next month as the open interest is certainly building. Safe trades.
Quick update on the NEO market versus Bitcoin, going into the weekend. As mentioned in the previous report, 0.066 btc ended up acting as resistance and prices dropped sharply after the support zone failed at 0.06 btc.
We can see some good price action brought on by the bulls from 0.005 btc, price is currently pushing above the 20 MA, a nice buying signal from the 4 hr candle charts. Stochtastic indicator is confirming the bullish momentum for me on the shorter term at least.
Should we consolidate above the 20 MA going into the weekend, there could be a nice push to our previous failed support zone. Should we get this push I would expect the sellers to step in and the bulls will have to work hard to get prices above 0.006 btc.
With all that said, nice volatility and good trading volume in the Neo markets, be patient and see if our new support level at 0.0052 btc will hold. Most trades now should still be considered higher risk. Safe trades.
Neo has made a impressive reversal since the start of June and really showing some strength against Bitcoin. Lets take a look at the charts.
As you can see NEO recorded some nice gains vs BTC and we are currently witnessing some sellers stepping into the market at these prices. A correction after a little bull run like this is quite normal and we could expect a slight pullback before we will see more gains.
Short term support for me is around 0.006 btc and resistance is around 0.0066. I expect some price action in this zone before prices cosolidate higher or lower going into the weekend, or next week.
Neo is a promising project in the crypto space and many haters are left on the sidelines again after some more decent price action from NEO.
This bullish push is also reflected vs the US Dollar and more traders will be looking towards this market as the trend continues to confirm itself.