This Is How the NEO Price Could Mark a New 2024 High

6 months ago 4

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Neo (NEO) price is holding its own despite the altcoin facing the impact of the broader market cues.

The cryptocurrency, thus, seems to be preparing for a recovery from the recent losses that could occur in the coming days.

Neo Is a Good Catch

The crypto market event heavily influences Neo’s price because the altcoin is a relatively smaller-cap asset. This leaves it vulnerable to sudden surges and significant declines. This can also be observed on the chart, where single-day rallies have reached nearly 21.8% while corrections have hit nearly 15%.

However, the Bitcoin halving changed the market sentiment from bearish to bullish, which is why the asset exhibits a potential crossover. The MACD (Moving Average Convergence Divergence) is a technical analysis indicator that tracks the relationship between two moving averages, signaling potential trend changes and momentum shifts in financial markets.

Looking at the 12-hour chart, we can see that the indicator is closing in on a bullish crossover. This would mark a shift from pessimism to optimism among NEO holders.

Secondly, the cryptocurrency could also attract new investors to the network. This is because the Sharpe Ratio is at a monthly high at the moment. The Sharpe Ratio assesses how well an investment performs relative to its risk level by comparing its average return to its volatility.

Usually, high values hint at the asset being a solid risk-reward asset, urging investors to add it to their portfolio. Since NEO’s Sharpe Ratio is at 2.76 at the time of writing, it could attract more investors, inherently boosting the price.

NEO Price Prediction: The Uptrend Continues

Despite the corrections and declines, Neo’s price is still in an uptrend, and with the bullish cues from the market and the investors, this uptrend will continue. The potential outcome is that NEO would breach through the resistance at $20.

This would allow the altcoin to push through and register a rally towards $23. Although it would find another resistance at $22.63, breaching it would be easy if the $20 support is cemented.

Consequently, not only would NEO’s price reach $23, but it would also make a new year-to-date high.

However, if Neo’s price fails to breach the resistance at $20 and falls back down to lose the support of $18, it would invalidate the bullish thesis. As a result, the altcoin could end up falling to $16.85.

The post This Is How the NEO Price Could Mark a New 2024 High appeared first on BeInCrypto.

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