Why is the price of Neo going up?
NEO's price has gone up over 30% in the last week, pushing its market cap to over US$5.7 billion.
Neo is now priced at around US$89 per token, up over 30% from just one week ago and has gone up more than 100% in the last month.
The cryptocurrency is now valued higher than the likes of Tron, EOS and Ethereum Classic, sitting as the 12th largest currency based on market cap. As the big cryptos such as bitcoin and Ethereum faced big slumps over the past couple of weeks, Neo was part of the altcoin surge which defied that slump and kept growing.
What's been making Neo's price rise so fast?
Neo wants to be the next generation Ethereum of China and is essentially a blockchain-based smart contract platform. What's important about Neo is that, while most cryptocurrencies have been built to be completely decentralised to remove control from governments and banks, Neo has been built to fit exactly within Chinese regulations.
China's regulations on cryptocurrencies are extremely strict, and as recently as September ordered all Shanghai based exchanges to begin to shut down operations. The country has already banned ICOs completely and wants to try and eliminate digital currencies.
This is what gives Neo its biggest potential – it's possibly one of the only cryptocurrencies that could work in China with its almost 1.4 billion people.
As a result of this, in the last week, some influential figures have come out extremely bullish on the currency.
Popular crypto Twitter figure @crypto_rand ran a poll with 15,000 people who voted Neo as the crypto with the highest potential for 2018, ahead of both Bitcoin and Ethereum who came in at number 3 and 2 respectively.
Similarly, Forbes published a story this week and claimed that Neo was one of several altcoins that were likely to at least double their value throughout 2018.
Another article on Rados last week ranked Neo as one of the best investments of 2017, adding to its perceived credibility from trusted sources in the industry.
Outside of these articles, Neo also made a few dev moves in the last week, with its first proper looks outside of China, putting nodes online in Sydney, California and Michigan.
The headlines made from Ripple last week, which surged up to become the second biggest cryptocurrency, has also brought more attention to other fast growing altcoins such as RaiBlocks as well as Neo, resulting in their fast growth too.
These word of mouth growths have also pushed speculative buyers onto Neo, with crypto forums full of Neo fans talking about how they got into Neo months ago with next to no capital and have now turned that into thousands of dollars.
- Grin had “most expensive genesis block one in history”
- Grayscale adds Stellar Lumens, citing demand and application
- Binance goes live with EUR and GBP fiat trades at Binance Jersey
- Grin vs Beam: MimbleWimble heats up as crypto competitors launch
- Brave browser on the verge of rolling out ads that pay viewers