[Updated November 30, 2019] In 2019, the price performance of NEO has been steady, and for investors that held on their tokens over last year’s bear market, they have been rewarded handsomely. The performance has chiefly been influenced by various partnerships including that of ZelCore, a crypto wallet which aims to increase the adoption of the NEO token around the globe. Also, recently, the platform embraced centralization, which makes it easier to implement network changes.
Like VeChain, Neo is another Chinese cryptocurrency that is riding high following the endorsement of the blockchain technology by the Chinese president Xi Jinping. Last month alone, the coin gained over 87% against the U.S. dollar. The coin is currently trading at $9 with a market cap of $644 million.
In this NEO price prediction piece, we will highlight a few reasons why the coin could pass $30 in the coming days.
Experts’ Opinion On Why NEO Will Rise
According to crypto experts, NEO price will increase in the coming years for several reasons. Let’s take a look at some of these reasons. Mark Cagney, the co-founder at Social Finance (SoFi), stated that the coin has the potential to replace Bitcoin due to its innovative use of blockchain technology. Overtaking Bitcoin means massive adoption, which will see the coin’s price rise.
Brian Evans, a famous blockchain evangelist, and Angel investor, also supports NEO’s future growth. Evans states that “The big move for NEO is creating an entire smart economy. It has incorporated digital assets, smart contracts, and a digital identity that can be used for real-world applications and become integrated into the real economy. China could be a candidate for that first real-world application and integration.” When more companies continue to adopt smart contracts, more traders will see potential in the coin, and this will see its price surge.
Additionally, Rakesh Upadhyay, a writer for a leading crypto publication, believes that recent positive developments, such as the newly announced $100 million EcoBoost fund, will pop NEO’s price higher. The writer holds a bullish view of the coin’s future price due to these developments.
Other factors that are driving the price of NEO.
NEO 3.0: Upcoming Network Upgrades
A NEO price prediction is based on the possible benefit from the upcoming network upgrade that will see the launch of NEO 3.0. The new protocol will help the platform scale sufficiently and build a fully integrated digital economy. According to Da Hongfei and Erik Zhang who are both the founders of the NEO platform, they hope to make the protocol the number one blockchain in 2020.
The upgrades will help the project create a decentralized platform that will be able to support large scale commercial applications. The focus will be put on reliability, increase on the storage capabilities and increased transaction per second output.
Precisely, the new features that will be added on NEO 3.0 include:
1. Native contracts which will be a new type of smart contracts that will run code directly instead of using the NEO virtual machine directly. Both NEO and Gas will exist as native contracts in NEO 3.0.
2. The internet resource access that will allow users to access internet resources using smart contracts.
3. There will be an improvement of the dBFT consensus mechanism.
4. There will be manifest and permission system where smart contracts will be classified to facilitate efficient communication between them.
5. Development of the NeoFS, a proposal that seeks to build a distributed storage network that will be complete with its own economic incentives.
Plans Of Global Adoption And Impact On NEO Price Prediction Assumptions
Even though NEO already has a firm footing on China’s ballooning decentralized economy, the platform doesn’t seem to be planning to rest soon. The project is pushing forward with global expansion plans. It’s wooing governments and individuals worldwide with the notion of its smart economy.
The project is already organizing hackathons, conferences, presentations, and meetups. These development efforts aim to escalate the blockchain’s global expansion.
In April, the NEO team toured Europe for the second time this Year. The group passed through Lisbon, Madrid, Paris, Zurich, Amsterdam, and Vienna. Also, they made a stop at Brussels where Da Hongfei, the NEO founder addressed the European Parliament on the benefits of the blockchain technology.
In its quest for global domination, the team has also toured South America. In May, the group visited Brazil presumably aiming to plant roots in what promises to be the next frontier for blockchain technology.
The NEO Ecosystem Is Growing
Recently the NEO Global Development (NGD) team announced that it had new updates for the NEO platform. The two updates come in the shape of two new tokens; CNEO and CGAS. The C stands for a contract. It implies the tokens will be specifically used for smart contracts. The $20 in our NEO price prediction takes the action of these coins into account.
The value of the two new tokens is pegged in value to NEO and GAS, and they can be exchanged for both at their market rates. According to the blog post, the additions have come out of necessity. An increasing number of dApps on the NEO platform has led to the need for a more diverse set of asset types.
“In response to requests made by the community, NGD has developed CNEO and CGAS, two contract assets that correspondingly map NEO and GAS, two global assets, to NEP-5 smart contract equivalents.”
In their current state, NEO and GAS cannot be easily utilized by smart contracts. It’s this reason that has led to the need to convert them to NEP-5 equivalents.
Usually, custom tokens fail to garner recognition by the wider cryptocurrency community. It can lead to then not getting listed on exchanges, and it’s the main reason why the team has pegged both to the existing digital assets.
“Whenever any project issues a NEP-5 token for that contract, the community might not recognize its token or exchanges are not willing to list it for circulation. As such, it is costly for the project. The community then recommended to the NGD team to issue a NEP-5 asset pegged to NEO/GAS.”
Want to learn more? You can see our coverage of the top NEO projects here.
As we can see above, the usability of the NEO blockchain is on the rise. It’s something that we can expect to push the price of NEO higher very soon.
Technical Outlook On the NEO Price Prediction Model
Potential +45% Gain For NEO
NEO, after breaking through the impulse of a global downtrend, which lasted almost a year, the price has drawn a canvas of asymmetrical upward pennant. The price is almost in the corner of the canvas, soon the result which has the potential for working out a + 45% gain.
It is also worth noting that there was a large volume on the pulse, which acts as the flagpole of this figure. All pivot points and local levels on the reaction of which the further movement depends have been indicated on the graph.
The analyst says that the entrance is on a breakthrough of the canvas or on a rollback of the price, depending on who has what trading strategy. It is worth noting that pennants work out impulse, and therefore there may not be a rollback after a breakthrough.
Watch out For NEO Correction Waves
After experiencing a bit of correction over the past few months, the analyst is urging all traders to be on the lookout for NEO’s correction waves. Currently, it looks like NEO just found a bottom, and in the coming days/months, we can expect to see the token start to surge.
So it would be wise to stay on the alert as there are some potential profits upto 180% to be found on this altcoin soon.
Potential 190% ROI For NEO
Here is another analyst that beliefs NEO has finally formed its bottom and way for next massive rally is open for NEOBTC, looking for potentially +190% profits in terms of Bitcoin, in USD it could be even more, but better we focus on Bitcoin pair.
NEOBTC chart shows an extreme downtrend in price movement, but when you notice the NEOUSDT chart, it’s clear that right now, prices strongly holding a fib786 support level, and there is a high probability that the price will start to take off from here with the upcoming alt season.
Meanwhile, the analyst custom indicator is strongly suggesting for a potential blast off in prices in the coming days with strong bullish divergence.
Zabir expects this rally to last long up to mid-march 2020 where we could achieve all targets and can easily make huge profits, as one of the top cryptocurrencies NEO is one of the safe crypto assets to invest in coming months.
His targets lie at;
Buy #NEOBTC from 90k – 91k
Position Size 5-8%
The strong performance of the NEO token has ensured that the project has maintained its position as a top 20 cryptocurrency. The platform is also working on solving some of its most pressing issues with the ongoing NEO 3.0 updates which will be great for the price of its token.
Based on what we have seen so far, it would be wise of any investor to add some NEO to their portfolio to ensure they don’t miss out on the profits to be realized once the coin starts to rally again.
Of course, if this interests you in buying NEO or trading for it, you can use Binance and find out how to do so with our full Guide To Buy NEO on Binance.
You can also trade for NEO on Bittrex and use our guide here.
You can learn more about NEO’s passive income opportunity through its GAS production with our guide here.