- NEO founder sheds light on the project’s vision.
- NEO/USD develops the downside correction from the recent high.
NEO, currently the 20th largest coin with the total market value of $523 million, has lost 6.5% in recent 24 hours and about 1.2% since the beginning of the day. The coin stays close to the intraday low of $7.35.
A pragmatic approach to centralization
The founder explained NEO’s approach towards centralisation. The project is often criticised on that account. However, according to Da Hongfei, this was done on purpose. NEO was planned to be a a centralized protocol from the start with the smooth transition to decentralization at a later stage.
“To mitigate those centralized disadvantages with NEO, we have a very clear plan to shift from the current more centralized to a more decentralized model in the future. It will be beneficial to keep relatively more centralized for efficiency. NEO is not the first blockchain project in the world. We’re still catching up with leading projects,” he said in the recent interview to Cryptoslate.
Da Hongfei believes that this pragmatic approach to centralisation is one of the key competitive advantages of NEO over Bitcoin and Ethereum.
NEO/USD, the technical picture
NEO/USD hit the recent high of $8.15 on Monday hadn’t has been in retreat ever since. The nearest support is created by the lower line of one-hour Bollinger Band at $7.30, followed by psychological $7.00. Once it is out of the way, the sell-off is likely to gain traction with the next focus on September 26 low at $6.70.
On the upside, the local resistance is created by a combination of SMA50 (Simple Moving Average) and the middle line of the Bollinger Band on one-hour chart at $7.50. Once it is cleared, the recovery is likely to continue towards $7.80 ( the upper line of one-hour Bollinger Band) and $8.00.
NEO/USD, one-hour chart
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