One of the top 50 cryptocurrencies, NEO has been around since mid-2017 but was actually founded three years prior to that under another name. The platform, created and developed by two Chinese entrepreneurs, is more than just another blockchain-based alt coin. Its two central missions are to enable smart contracts and to help prod the global transition toward widespread acceptance of digital assets. While much of NEO’s architecture feels and looks like the better-known ethereum, several features of the upstart coin set it apart from the competition. Notably, its creators want to fully automate the entire process of using digital assets via a worldwide network.
Since Chinese political authorities recently banned all crypto trading, speculating, mining, and investing by its citizens, it’s ironic that one of the hottest alt coins is still allowed to exist in such a restrictive environment. Theories abound that NEO trading might turn out to be the one favored crypto within China and could thus enjoy a massive upsurge in popularity if there’s ever an official announcement to that effect. For everyday investors and speculators, the main question is where the unique coin’s price is headed as the fourth quarter of the year gets underway. Here are the main facts everyone should know about NEO.
Price Trends
At the beginning of November, NEO’s price hovered near the $46 mark, but recent movement in October can offer some clues about what the rest of Q4 holds. There is no shortage of expert predictions about price ranges for the coin, most of which range between $35 and $72 for the final three months of 2021. What’s even more instructive is the one-year history chart of the coin’s value. It began the month of November in 2021 at $14.08, reached a high of $122 in early May, and then slowly dipped all the way down to $25 by mid-July. Since the end of that exceptionally volatile month, the coin has ricocheted between $65 and $35.
Unique Opportunities for Traders
NEO coin could have some rough year-end sessions as supply problems, the COVID pandemic, and nationwide energy shortages continue to cripple China’s economy. However, if history offers any indication, NEO’s price stability in challenging times is something to admire. Look for China’s unique crypto to hold its own for the remainder of 2021 and open up the new year at or near its current level of $46.
For those who believe in the uniqueness of NEO, its long-term value is perhaps its single biggest advantage. Because it uses a smart contract architecture and could end up being one of the few widely accepted alt-coins in the most populous nation on earth, its five-year outlook is much better than most of the other top-50 cryptos. The coin is one of the few that supports the creation of decentralized applications solely based upon the use of smart contracts, and that sets it apart from most of its competitors.
Risks
What’s true for every cryptocurrency is true for NEO. Volatility is always a central risk in a new asset class like alternative currency. But there are a few other factors that come into play for investors who want to add the Chinese version of ethereum to their portfolios: national authorities could intervene at any time to bolster or dampen prices. That kind of risk is always a factor in centrally planned economies, but so far it hasn’t played a role in the ups or downs of the coin’s price. And, with a capitalization in excess of $3.2 billion, it appears that few serious investors worry about the possibility of government intervention.
Buying NEO is Fast and Easy
Like most of the top cryptocurrencies today, buying NEO is a quick and easy process. Simply acquire a wallet, locate your individual address, head over to your favorite cryptocurrency exchange, deposit either ethereum or bitcoin into your account, and then use your account funds to make your purchase.
The Coin is a Favorite for Long-Term and Short-Term Traders
Because the market cap is so high and the coin is currently enjoying a wave of popularity, prices change fast. Plus, because NEO has unique features and is part of the smart contract family of alt coins, many investors simply acquire it for purposes of buy and hold strategies. Others speculate on short-term moves by taking part in day trading and scalping. For example, in just the past month, NEO’s value has ranged from $39 to $49, which is quite a huge gap and allows for multiple day trade and scalp setups. Whether your goal is short, medium, or long, adding NEO to your diversified crypto holdings can be a smart move as 2021 moves into its final months.
