NEO Price Prediction: NEO is on the verge of a significant price explosion
|- NEO is currently trading at $17.95 after a pullback from 2020-high at $25.85.
- Several indicators are showing bullish signs in the short-term for the digital asset.
NEO is down 12% since the beginning of October and continues trading inside a downtrend. Despite the launch of Flamingo, a decentralized finance protocol built on top of NEO’s blockchain, the price of the digital asset has continued to drop.
NEO price is close to a massive move
Several key indicators are showing that NEO is on the verge of a spike. If we take a look at the daily chart, we can recognize an ‘8’ presented by the TD sequential indicator, a sign that a buy signal will come up soon.
NEO/USD daily chart
The price of NEO is at $17.94, right above an important support level formed at $16.9. This level was defended on several occasions in the past on September 6 and August 25.
Another crucial factor showing the upcoming volatility for NEO is the Bollinger Bands indicator. The bands are squeezing on the 4-hour chart, which usually means that a significant price movement is underway. Breaking through the upper band of the indicator will most likely push NEO up to $20.
NEO/USD 4-hour chart
NEO also formed a healthy support level at $17.5 on the 4-hour chart while the MACD turned bullish on October 3, indicating that bulls are in control over the short-term.
However, a bearish breakout below $17.5 would most likely bring NEO down to the daily 100-EMA at $16.6. Furthermore, it seems that on the hourly chart, the digital asset is getting rejected from the 100-SMA.
NEO/USD 1-hour chart
-637375122708501725.png){kind=link}
The 100-SMA, currently established at $18, acted as a strong resistance level several times in the past on October 1 and September 27.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.