Short-term price analysis:
Overall market capitalization behavior
Before we do any analysis for NEO, let’s briefly plot total market capitalization. As we already know, due to dubious reporting from TheBlock that alleged Binance offices were raided by police, the market suffered a major mini-crash and its total capitalization fell below $ 200 billion.
At the moment the market as a whole is hanging by a thread with no firm hold underneath. We could see a drop to $ 162 billion with Fib236 (December 2018 – June 2019 high low) serving as support.
Note: The Tradingview data we use in our analysis differs from the CMC total market capitalization data by approximately $ 8 billion.
The general mood is far from positive and there is a lot of fear in the markets. Strong hands, holders buying the dips have likely lost some money, which is an added bonus for the bears as these buyers are typically “last resort” buyers and a drift and loss of another $ 30 billion are quite likely.
NEOUSD Price Analysis – November 24th
NEO lost its battle for Fib786 at $ 9.75 and is now in free fall, likely not before crashing to the local September and October lows at $ 6.70. This means that any profits NEO made during the China hype earlier this month will be given away and we will be back in first place.
Below is our long-term NEO price prediction for 2019 and beyond.
NEO is a hot topic in the Chinese market. But can the cryptocurrency also penetrate abroad? What is NEO Long Term Price Prediction? Will an investment in NEO pay off by 2025 and what profit or loss can be expected?
In order to make a NEO forecast, you should know the key information about the cryptocurrency, the underlying technology and the company behind the project. So here is a brief summary. NEO was originally founded in 2014 by Da Hongfei under the name AntShares. The platform was renamed in June 2017 and has been called NEO since then. The Chinese company Onchain is behind the project.
NEO was China’s first cryptocurrency. However, it serves much more than just a means of transaction and payment. Similar to Ethereum, the blockchain-based platform enables developers to create smart contracts and dApps. Therefore, many refer to NEO as the Ethereum of China.
NEO Price Prediction: The Most Important Factors to Consider
The long-term value of a cryptocurrency as an investment can be determined by several key factors. The questions that a crypto investor has to ask are hardly any different from those of any other investor. These questions are important for a NEO forecast:
- Does the product serve a purpose?
For NEO, this question can be answered with a clear yes. As mentioned earlier, NEO is not a cryptocurrency that only serves as a means of payment and therefore would be interchangeable with hundreds of other cryptocurrencies on the market. NEO can be used in many areas as it supports smart contracts and dApps. The project can serve governments, corporations, developers, individuals, and many more. The aim of NEO is to promote the so-called smart economy. It is about the possibility of digitizing material assets in order to make them digitally tradable with the help of smart contracts and dApps. The global economy should benefit from this and become even more efficient, transparent and secure. This point will have a positive effect on the NEO forecast.
- Are there any competing products?
NEO has to share the market with some other crypto projects. The most important are EOS, Tron and Ethereum. In terms of market capitalization, all three currently outperform NEO. Tron ranks 10th with over $ 1.2 billion, and EOS almost doubles that with $ 2.9 billion and ranks 6th. The unbeaten industry winner, however, is Ethereum with just under 19 billion US dollars. Ethereum can therefore be described as the biggest competitor.
- How mature is the technology?
Although the Ethereum Blockchain leads the ranks of smart contract providers, NEO (currently) has the better technical fundamentals. The NEO blockchain processes around 10,000 transactions per second, compared to just 15 transactions per second for Ethereum. NEO has the better consensus mechanism with the Delegated Byzantine Fault Tolerant (dBFT) consensus algorithm. This consensus method is similar to Proof-of-Stake (PoS) and is significantly more energy efficient than Ethereum’s Proof of Work. In the long term, however, Ethereum will be able to catch up on this point as soon as it has switched to PoS.
While Ethereum uses its own language for smart contracts called Solidity, NEO enables developers to write in common programming languages such as C #, Java, Phyton and Go. This makes it easier for developers to get started as they don’t have to learn a new language. The prospect of NEO 3.0 is very promising for further technical development and will make the platform even more powerful, stable and user-friendly.
Who are the partners and supporters?
NEO has the great advantage that it is supposedly good for the Chinese government. Most crypto projects do not have this luxury, but have to deal much more with restrictions and restrictions. Other important supporters of the open source blockchain project are Alibaba and Wings. This has made NEO one of the most successful and widely used crypto projects in the Chinese market. But the company doesn’t stop there and wants to go global.
Last year NEO tried to build bridges in Europe and South America. NEO founder Hongfei, for example, spoke to the EU Parliament at the Economy Expo in May 2018 about blockchain technology and its advantages. The team hosted various hackathons, meetings, conferences and many other events across Europe and for the first time in Brazil. If the company makes the entry here, this could have a decisive influence on the NEO forecast.
Long-term NEO forecast for 2020-2025
Now that the most important points point to a price increase or decrease, a long-term NEO price prediction in numbers follows. With a forecast, there is no guarantee that it will actually come true. The following predictions differ because they are based on different analytical methods:
Wallet investor: This forecast platform uses technical analysis for its NEO forecast. They think NEO is a poor long-term investment. According to the calculations, the average price could be around $ 0.91 by the end of 2020. Apart from minimal fluctuations, the price will continue to develop negatively in the years to come. In 5 years, that is, July 2024, 1 NEO will be worth only $ 0.44. Compared to the current price of around $ 11, investors would lose over 87% of their investment.
Coin switch: In this case, the NEO forecast is primarily based on the above questions and bases your assessment on current news and future developments. Therefore, Coinswitch believes NEO is a solid and promising investment. Expansion in the Asian market, support from the Chinese government, and the 3.0 update could push the NEO price to $ 274.8 by the end of 2020. Due to the high scalability and the unused potential of the platform as well as the growth potential of institutional investors, the price will continue to rise until 2023. Then 1 NEO could be worth up to US $ 437. This trend will continue and a value of 533 would be feasible by 2025, according to the estimate.
Longforecast.com: According to longforecast.com, the price of NEO will be in the range of $ 284 to $ 328 in May 2020 and will rise to $ 438 to $ 504 by December 2020. The price prediction for NEO Coin looks pretty good here and predicts an investment of $ 100 today could bring in around $ 600 in 2020.