NEO price analysis: NEO/USD spikes by 20% following cross-chain interoperability protocol development partnership with Ontology

NEO spiked up by a staggering 20%, going up from $10.80 to $13, this Thursday. The price was buoyed by the announcement of the partnership between NEO and Ontology of a new joint initiative to develop an interoperable cross-chain protocol. The two companies believe that the partnership will lay the “foundation for the next-gen internet.”

NEO co-founder Da Hongfei told NEO News Today:

“As part of our goal of realizing a smart economy, we are committed to fostering collaboration and inclusiveness. Through NEO’s partnership with Ontology, we are advancing towards the goal of becoming a part of a global and open ecosystem by being interoperable with any and all major blockchains. In a way, you could imagine the partnership as a free trade agreement between countries, one that will benefit all participating parties.”

Li Jun, Ontology founder, echoed Da’s sentiments saying:

“By building an open and global cross-chain system, NEO and Ontology will promote cross-chain value exchange as well as business collaboration to establish the foundational infrastructure for next-gen Internet.”

NEO/USD daily chart

This Friday, the price of NEO/USD has gone done a little bit to $12.90. Thursday’s price movement broke past the resistance offered by the 200-day simple moving average. The Elliot oscillator also had a bullish session after 16 straight bearish sessions. The moving average convergence/divergence (MACD) indicator shows that bearish momentum is decreasing. The relative strength index (RSI) indicator bounced up form the oversold zone and is trending around the neutral area.