Hello everyone,
Here I'm going to be taking a look at the recent price action we've had with NEO/BTC and use some longer-term trends to show you where I believe we're headed.
For those of you who would like to learn more about the project I just wrote an article explaining the technology involved in developing Neo's Smart Economy for readers who are not technical experts.
medium.com/elevatyr/...e-trade-12765f1aee5f
Although volume on the Bittrex exchange is less reliable than others, we're going to be using their chart for the most complete price history.
History repeats itself.
The basis of technical analysis is identifying patterns and using them to find the likelihood of certain outcomes, preferably one with the most opportunity for profits. That includes patterns that look like they mirror the past because they often do.
When we zoom out on the weekly chart we can see that the Neo price action from July 2017 to December 2017 is almost Identical to the Neo chart from January 2018 to July 2018.
These 6 months cycles seem to be almost identical, characterized by a strong run-up, around a 50% correction, and 2 retests and rejections of the 50/100 MAs while the price drops.
We are currently in fall after the first test of the original correction from the top and I expect to see at least one more test of the moving averages before we drop further.
While I love the Neo project and am excited for what they will accomplish in the future I am short on Neo in the short term.
Historical price action would lead us to believe that we have one more attempted bounce to the 50/100 MA before we go down for the last time.
Neo is a market leader, but its price evaluation is still very correlated with bitcoin 4.05% . As Bitcoin 4.05% drops, so does Neo and where Bitcoin 4.05% finds support, Neo historically does as well.
I recent article I wrote on Bitcoin 4.05% will show what that I believe we are headed down to the 4.5-5k range.
BTC/USD Price prediction for the upcoming weeks
This, in theory, would drag down the NEO/BTC price until we find a very strong historical support which I believe is between 0.0038 and 0.0048 satoshis.
I have a historical bottom support marked by the blue line around the 0.0033 and will be averaging into a position while the price is in this range.
This drop in price may seem drastic, but we are in a bear market and if we want to be successful we have to buy coins when they look cheap, not when everyone's talking about them.
The end of this bear cycle will be the perfect time to pick up a nice Neo bag, after that I have great hopes for the work these guys are doing.
Please check out the articles linked if you're interested.
Hope everyone enjoyed my idea.
Good luck.
Here I'm going to be taking a look at the recent price action we've had with NEO/BTC and use some longer-term trends to show you where I believe we're headed.
For those of you who would like to learn more about the project I just wrote an article explaining the technology involved in developing Neo's Smart Economy for readers who are not technical experts.
medium.com/elevatyr/...e-trade-12765f1aee5f
Although volume on the Bittrex exchange is less reliable than others, we're going to be using their chart for the most complete price history.
History repeats itself.
The basis of technical analysis is identifying patterns and using them to find the likelihood of certain outcomes, preferably one with the most opportunity for profits. That includes patterns that look like they mirror the past because they often do.
When we zoom out on the weekly chart we can see that the Neo price action from July 2017 to December 2017 is almost Identical to the Neo chart from January 2018 to July 2018.
These 6 months cycles seem to be almost identical, characterized by a strong run-up, around a 50% correction, and 2 retests and rejections of the 50/100 MAs while the price drops.
We are currently in fall after the first test of the original correction from the top and I expect to see at least one more test of the moving averages before we drop further.
While I love the Neo project and am excited for what they will accomplish in the future I am short on Neo in the short term.
Historical price action would lead us to believe that we have one more attempted bounce to the 50/100 MA before we go down for the last time.
Neo is a market leader, but its price evaluation is still very correlated with bitcoin 4.05% . As Bitcoin 4.05% drops, so does Neo and where Bitcoin 4.05% finds support, Neo historically does as well.
I recent article I wrote on Bitcoin 4.05% will show what that I believe we are headed down to the 4.5-5k range.
BTC/USD Price prediction for the upcoming weeks
This, in theory, would drag down the NEO/BTC price until we find a very strong historical support which I believe is between 0.0038 and 0.0048 satoshis.
I have a historical bottom support marked by the blue line around the 0.0033 and will be averaging into a position while the price is in this range.
This drop in price may seem drastic, but we are in a bear market and if we want to be successful we have to buy coins when they look cheap, not when everyone's talking about them.
The end of this bear cycle will be the perfect time to pick up a nice Neo bag, after that I have great hopes for the work these guys are doing.
Please check out the articles linked if you're interested.
Hope everyone enjoyed my idea.
Good luck.
Comment:
We just entered the buy zone, gonna wait a little to start building a position because it looks like btc has a little more room to fall
Comment:
Opening up my position around this area, may give it some more time to make sure BTC still looks healthy
