NEO rushing to the moon on rumored Russia support

NEO is one of the growth leaders today. The coin gained over 10% on a day-to-day basis and over 3.5% since the beginning of Wednesday. NEO takes the 16th place in Coinmarketcap rating of digital assets with a market value of $618.9M. 

NEO/USD has gained over 15% since Tuesday's low amid rumors that Russia might enter an official partnership with NEO platform. The big news came in the form of the document, provided by the Russian Association of Cryptocurrency and Blockchain, stating that NEO Competence Centre in Saint Petersburg received a letter with an invitation to collaboration within the plans of the Russian government to invest heavily into cryptocurrency development and adoption. The interest in digital assets and new payment systems is determined by international sanctions imposed on the Russian financial system.

“Because of US sanctions, Russia’s elite is forced to dump US assets and US dollars and invest hugely into Bitcoins. The central bank of Russia sits on $466 billion of reserves and has to diversify in case there are limited opportunities to do it (in the future) … I believe that Russia (Government) will start diversifying its reserves with Bitcoin in February this year when US Congress will introduce new sanctions against Russia, ”Vladislav Ginko, a lecturer at Moscow’s Russian Presidential Academy of National Economy and Public Administration, explains, cited by Ethereum World News.

Though the rumors are not confirmed either by NEO team o Russian government, NEO supporters are enthusiastic anyway, which provides an upside impulse for the coin. However, the stellar growth based on speculations tends to be short-lived. Beware of sharp correction towards $8.3-$8.0 support area created by SMA100 and SMA50 (4-hour).

NEO/USD, 4-hour