NEO tumbled by 8.58% on Wednesday, reversing Tuesday’s 4.06% gain with interest, to end the day at $7.03.
A bearish start to the morning saw NEO fall to a morning low $7.17, coming within range of the day’s first major support level at $7.11 to move back through to $7.30 levels and a relatively range-bound middle part of the day.
Market forces ultimately took over later in the day, with a late afternoon broad-based cryptomarket sell-off pulling NEO through the first major support level at $7.11 to an intraday low $6.88 before recovering through the late part of the day to move back through to $7.00 levels.
It’s been a mixed start to the month, with NEO seeing just 2 days of gains against 3 days of losses, with the intraday swings narrowing from the heavy reversals seen through much of November, NEO sliding from an early November high $17.61 to sub-$7.00 levels on Wednesday.
The extended bearish trend, formed at late April’s swing high $94.65 remained firmly intact. The November reversal, late November swing lo $6.75 and a 12.9% loss for the current week to Wednesday’s ending $7.03 has inflicted plenty of pain on the NEO bulls.
At the time of writing, NEO was up 3.51% to $7.28. Moves through the early morning saw NEO slide to an early morning low $6.80, coming within range of the first major support level at $6.71 before bouncing back into positive territory.
With support kicking from a broad-based cryptomarket bounce, NEO moved through to a morning high $7.35, coming up short of the first major resistance level at $7.52 before easing back.
For the day ahead, a hold onto $7.20 levels through to the early afternoon would support a move back through the morning high $7.35 to bring the day’s first major resistance level at $7.52 back into play. A sustained broad-based crypto rally could give NEO a run the second major resistance level at $8.01 before any pullback.
Failure to hold onto $7.20 levels through the morning could see NEO hit reverse later in the day. A pullback through to sub-$7.00 levels will likely see NEO fall through the first major support level at $6.71 to bring the second major support level at $6.39 into play before any recovery.
NEO’s one of the front-runners early on and more upside could be on the way should the likes of Bitcoin see a pickup in investor appetite through the day.