Neo crypto token ($NEO) has seen a fall in their price compared to the US $112 mark it had reached on March 7th, however it is holding on to its ground generally. As of March 13th, US EST morning, NEO is trading at US $ 83.57. In terms of market cap, NEO is at the 7th spot.
NEO Coin Price Forecast for March, 2018
The below graph tracks the recent trend:
The fall in price in the past one week can be attributed to the following generic reasons, none of which are specifically connected to NEO:
- The regulators in the US and Japanese markets are putting increasing pressure on cryptocurrency exchanges. Japans has asked Bitstation and FSHO, two prominent exchanges operating there, to stop business activities for a month, and has asked five others to improve their business controls. The US Securities and Exchange commission has stated that the cryptocurrency exchanges could be asked to follow rules set by them, and will be penalized if they fail to adhere.
- Recent hackings of crypto exchanges have again turned spotlight on the issue of their security.
- Some national governments continue to show tough stance vis-à-vis cryptocurrencies, for e.g. India continues to discourage the Indian citizens from trading in cryptocurrencies, and China is following through on their February action of blocking internet access to crypto exchanges by recently blocking social media accounts of crypto exchanges.
On the other hand, there are several positives as far as NEO is concerned, such as:
- Neo will soon launch the Trinity project, which will take complex processes and transactions off the blockchain, leaving only the final product to run on-chain. This will improve scalability by reducing network congestion. Also, complex pieces of smart contract applications will run off-chain, hence reducing the need for extra computing power, in turn reducing the cost of running smart contracts. Already NEO has better cost figures than Ethereum vis-à-vis running smart contracts, and the Trinity project will improve it further. As a result, number of projects launched on Neo platform will see a drastic increase, driving price of NEO higher.
- Neo also had a very recent upgrade to their City of Zion (CoZ) wallet, which consisted of bug fixes and features upgrade.
- A prominent cryptocurrency exchange in India, Koinex, has added NEO, along with GAS, on their platform.
On a long-term basis, NEO continues to be a promising investment option. Although modelled on Ethereum, Neo blockchain has already surpassed Ethereum on multiple counts. Neo acknowledges that in future, governments will have a role to play with respect to crypto economy, and their design has catered to this. Neo employs a unique Byzantine Fault Tolerance Consensus mechanism and can execute 10,000 transactions per second, which is a lot faster than Ethereum. While most cryptocurrency platforms allow only their own digital currency, Neo allows a significant number of other digital currencies, and not only its own.