Neo Price Prediction as NEO Token Slides Despite Market Rebound

Last updated: May 2, 2024 8:30 pm EDT | 3 minute read

Neo Price Prediction as NEO Token Slides 2.3% Despite Market Rebound: Can NEO Reach $20? / Source: TradingView

Neo (NEO) price is in focus as the cryptocurrency slides despite a broader market rebound and as it tests a key medium-term uptrend.

NEO it last changed hands just above $16, after trading as low as $15.35 on Wednesday.

Neo it’s a smart contract blockchain launched in 2014, before rebranding to the Neo name in 2017.

As per CoinMarketCapits market capitalization was just over $1.1 billion.

Despite its age, Neo has failed to catch on like other smart contract blockchains Ethereum.

In fact, it has never been able to recover the record high it reached near $200 in 2018.

At the height of the 2021 bull run, it only briefly managed to surpass $140.

At current levels, it remains close to 90% off these highs and 92% off its 2018 highs.

NEO’s lack of adoption is evident when examining locked business value (TVL) in its smart contracts.

As per DeFi Bladeits TVL was just $63 million, giving it a paltry ranking of 62nd in the cryptocurrency industry.

A low TVL suggests that blockchain has failed to develop in a sufficiently useful/attractive way DeFi protocols to attract investors.

The fact that a chain with such weak adoption can reach a market capitalization of over $1 billion shows how irrational cryptocurrency markets can be.

But Neo may not have a $1 billion market cap for long. Indeed, Neo’s price appears to be on the verge of a bearish technical breakout that could see it rapidly lose 40% of its value.

Neo Price Prediction: Can NEO Reach $20?

NEO has been moving higher in an uptrend from the January lows.

But this bullish trend seems about to stop. And this could open the door to a drop to $10.

Neo (NEO) price is in focus as the cryptocurrency slides despite a broader market rebound and as it tests a key medium-term uptrend. Source: TradingView

Overall cryptocurrency market conditions may remain bearish in the wake of Bitcoin’s recent drop below $60,000.

Spot Bitcoin ETF demand has turned sharply negative, with the ETF experiencing outflows over the past five days.

In particular, BlackRock reported its first day of outflows on Wednesday. The outflows come as markets price in short-term rate cuts by the Fed.

THE The Fed has stressed that it is too early to cut rates on Wednesday. This is due to recent upside surprises in inflation data and continued strong growth.

Rate cuts are not expected until the end of the third/fourth quarter of this year. Favorable factors deriving from the subsequent period, a more positive macroeconomic framework and a potential post-election bullish attitude could therefore intervene to increase risk appetite.

But until then, cryptocurrencies like NEO may continue to perform poorly.

Can NEO recover to $20? Well, over time and as sentiment improves, that shouldn’t be difficult.

Considering the current token supply of 70.5 million, NEO’s market capitalization would only be $1.4 billion at this price.

Irrationality could yet see NEO return to its previous record highs above $100.

But traders should remember that NEO is a risky bet. Despite having been around for 10 years now, it hasn’t shown any real signs of adoption.

It is unlikely to become a major success story any time soon.

Crypto Alternative to Consider – WienerAI (WAI)

Investors tempted to jump into a risky, speculative coin like NEO obviously have a high-risk tolerance.

This risk appetite might be better met with a different strategy that, while also risky, has higher upside potential.

The strategy in question is presale investing, which involves purchasing tokens of emerging crypto projects before they gain traction.

Presale investments are risky because projects may not deliver on promises or achieve adoption.

But if investors can reliably identify high-potential projects, they can make big gains.

A new funny AI meme coin called Vienna AI (WAI) attracted the attention of Cryptonews analysts.

The Sausage dog-themed meme coin offers a number of convenient AI trading features and has already raised over $800,000.

Interested investors need to move quickly, as when the pre-sale reaches $1.1 million, the WAI price will rise.

Currently priced at $0.000703, investors are buying WAI at a market cap of around $45 million.

But investors could see gains of 10x or more if WAI manages to become the market leader.

Not only is WAI an exciting meme coin with AI features, but it is also a passive income gem.

20% of the offering went towards staking rewards. Presale investors are currently earning a whopping 1091% APY.

At this rate, investors can double their initial pre-sale investment in less than a month.

Buy Wiener AI here

Disclaimer: Cryptocurrencies are a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all your capital.

Fuente