The price of the Neo coin(NEO), called the Chinese Ethereum, is growing alongside Ethereum in the current bear market. Since the last week, the price has increased from $99 to $173(at the time of writing this article). That’s over 70% increase in just one week. Considering the current volatile market scenario, this is definitely surprising, but there’s a reason behind that.
NEO started as a community-based blockchain project in 2014, that uses blockchain to digitize assets and help manage them with the use of smart contracts. As soon as you see smart contracts, you hear Ethereum, the blockchain platform started by Vitalik Buterin around the same time. It looks like both Ethereum and NEO aim to solve the same problem, building a platform which uses smart contracts that helps in creating a smart economy. Ethereum came first and changed everything by making it very easy to do an ICO or build code that uses smart contracts, NEO albeit came little later is aiming to solve problems that we will face in the future and it aims to enable smart economy using the smart contracts.
Ethereum vs NEO Price
Although market cap or price of the digital currency is not a good metric to define the technical strength and future potential of a digital currency, the current market scenario forces us to use these metrics. At the time of writing, the price of Ethereum in USD is around $1,320 and that of NEO is $173.
Just an FYI, you can check real-time prices and social feed on our dashboard here or use our Android App or follow our NEO bot on Twitter to get timely news and price alerts. Follow @NeoBot_CS
If the platforms are similar and are aiming to solve similar problems, why is there a price difference? and does the market need only one or is there a room for both? The answer is that Ethereum started first and got pretty famous pretty soon. Though NEO aims to solve similar problems in a more advanced way, it was left behind Ethereum shadow until now. But the dramatic price increase in a bear market has some advantages like getting more media attention which forces more investors to study about NEO and the technology behind it.
Currently, NEO stands at No 8 in terms of market cap and has over $11 billion in market cap. If the current price rise continues, you could see $200 by the mid of next week. If you are looking to buy, you could buy them on Binance or KuCoin. (Disclosure: The hyperlinks contain referral links.)
PSA: This is not an investment advice, but rather an analysis based on various parameters. Do your own research before making an investment.