Despite Neiro (NEIRO)’s recent price drop, analysts and investors seem bullish on the memecoin. Some market watchers noted the cryptocurrency’s potential, suggesting the levels to watch ahead of the next bullish rally.
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Neiro Sees 10% Weekly Correction
Neiro made the headlines three months ago after becoming an overnight sensation on the Ethereum Network. The memecoin was inspired by the newly adopted sister of Dogecoin’s inspiration, Kabosu.
The cryptocurrency has registered a remarkable performance during October, jumping 30% month-to-date (MTD). Moreover, the token saw an impressive rally towards its all-time high (ATH) price of $0.0022 two weeks ago, surging 4,600% in 30 days.
The memecoin’s bullish momentum also propelled its market capitalization (MC) near the $1 billion mark, reaching a $935 million MC on October 15, which fueled a bullish sentiment among market watchers.
However, Neiro’s price has declined since its most recent rally, trading 31.5% below its ATH. The Shiba Inu-themed memecoin registers a 10.3% drop in the past week, hovering between the $0.00132-$0.00170 price range.
Despite the price drop, analysts and investors remain positive above the cryptocurrency. Crypto Tony noted that the memecoin is another token that looks “really good” since the beginning of its bullish momentum in mid-September.
The analyst pointed out Neiro’s potential, suggesting that a small pullback from its recent levels could be a good entry point for investors ahead of an upcoming rally.
Is $0.0020 Or $0.0010 Next?
Since its all-time high, the cryptocurrency’s chart has displayed a downtrend, forming a broadening wedge pattern in the lower time frame, according to trader CryptoBull360. The market watcher noted that a successful breakout above the upper trendline could trigger a 25%-30% bullish rally for the token.
Another trader suggested Neiro’s “situation on the chart is messy.” The trader stated that the token needed to break above the $0.00165 mark to continue its bullish trajectory and recover its ATH levels.
However, if Neiro is rejected instead, the token could see a 30% correction toward the $0.0010 support zone. The $0.00165-$0.00170 price range represented an important consolidation zone ahead of the token’s surge toward its ATH.
On Monday morning, Neiro’s price jumped 13.3% toward the $0.00170 resistance level. The token moved above the pattern’s upper trendline, signaling a breakout from its biweekly downtrend.
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Nonetheless, the token couldn’t hold above the key resistance level and pulled back toward the $0.00154 support zone. Crypto analyst Sjuul from AltCryptoGems suggested that the memecoin’s recent performance has been better than expected.
After “a longer manipulation” and reclaiming the $0.00150 level over the weekend, the analyst believes Neiro is ready to move toward higher resistance levels, potentially targeting the crucial $0.0020 mark again.
As of this writing, Neiro is trading at $0.00151, a 4% drop in the daily timeframe.
Featured Image from Unsplash.com, Chart from TradingView.com
