NEO Price Analysis: The RSI Suggests That NEO/BTC Has Begun an Uptrend

On September 23, the NEO price reached a low of 89,400 satoshis. Where will it go next? Keep reading below in order to find out.

NEO Price: Trends and Highlights for September 23

• NEO/BTC is following an ascending support line.
• One support area is found at 90,000 satoshis.
• There is resistance at 100,000 satoshis.
• The RSI indicates that the upward move has significant strength.

Ascending NEO Price Support

The NEO price has been following an ascending support line since September 5. At the time of writing, it was trading right on this support line — having reached it in the early hours of September 23. Its significance is strengthened since it corresponds with the 90,000 satoshi support area and the 0.618 Fibonacci level of the entire upward move. This makes it very likely that the NEO price is done retracing and will soon begin an upward move. Let’s take a look at a different time-frame and see how likely that is.

The RSI Shows Strength

Looking at the daily time-frame, we can identify one resistance area at 100,000 satoshis. If the NEO price were to increase at the rate predicted by the support line, it would create an ascending triangle using the resistance area as a horizontal resistance line. Reading the RSI, we can come to the conclusion that the upward move is legitimate and is getting stronger. The upward move was preceded by very significant bullish divergence in the daily RSI. Additionally, while the NEO price reached almost identical highs on August 22 and September 18, the RSI recorded a significantly higher value during the second high. This is a sign of strength, indicating that the buyers were much more dominant during the creation of the second high.

Future Movement

An outline of possible future price movement is given below: NEO is likely to increase at the rate predicted by the support line and reach the resistance area of 100,000 satoshis.

Summary

The NEO price has been following an ascending support line. According to our analysis, it is likely to increase at the rate predicted by the line and reach the resistance area at 100,000 satoshis. For hypothetical trading purposes, NEO is considered a buy near the current price of 90,000 satoshis. Do you think NEO will continue to increase at the rate predicted by the support line? Let us know in the comments below.

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Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.  Images are courtesy of Shutterstock, TradingView.