NEO price analysis: NEO/USD in retreat after stellar growth
|- NEO has been one of the worst-performing altcoins on Wednesday.
- The upside momentum has faded away and gave way to the downside correction.
NEO, now the 18th largest coin with the total market value of $736 million, topped at $13.45 on Monday and has been in retreat ever since. At the time of writing, NEO/USD is changing hands at $10.36, down 4.4% both on a day-to-day basis and since the beginning of Wednesday.
Due to the retreat, NEO is one of the worst-performing altcoins out of top-20 on Wednesday; however, its weekly gains are still impressive. The coin's value increased by 50% in recent seven days.
NEO/USD, the technical picture
Looking technically, the resistance created by a combination of SMA200 (Simple Moving Average) and the upper line of the Bollinger Band daily at $11.00 limits the recovery of thee coin. This is a strong barrier that needs to be taken out for the upside to gain traction with the next focus on October 28 high at $13.45.
On the downside, the local support is created by a psychological $10.00. A sustainable move below this barrier will increase thee downside pressure and push the price towards SMA100 daily at $9.20. The next support awaits NEO on approach to $8.00 (SMA50 daily and the middle line of daily Bollinger Band). If it is broken, the sell-off may continue towards psychological $7.00 and the lower line of the recent consolidation channel at $6.80.
NEO/USD, the daily chart
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