Today has been a relatively quiet day in the crypto world. However, some tokens are seeing outsized moves. One such token worth looking at today is Neo (CRYPTO:NEO). As of 2:40 p.m. ET, this token had jumped 11.3% to 59th place in the cryptocurrency market cap rankings.
Among the main drivers behind this token’s insane rise today was the news of Neo’s first-ever monthly technology report. This report highlighted progress on several roadmap items that the Neo developer team has been working on for some time. These included a range of bug fixes, as well as new resources and support for developers using Neo to incorporate smart contracts into decentralized applications.
Additionally, published “gas burn” data directly from the Neo team shows significant recent spikes, particularly one at 3am ET. On the Neo network, Neo tokens are the governance tokens tied to the voting rights for that network, while Gas tokens are the “fuel” that allows transactions to take place on the network. System fees are burned, with network fees redistributed to census nodes. Higher gas consumption rates suggest that trading volumes have increased over a given period.
Neo is a China-based blockchain, often considered the very first from China, launched in 2014. As a result, it is not surprising to see large spikes in after-hours trading periods in North America. North, given this time difference. However, recent gas consumption data provided by Neo suggests that activity could pick up on the network. Given the geopolitical concerns emanating from China, this is a bullish factor that investors seem to appreciate today.
Additionally, the technical update provided by the Neo team has provided some meaningful details about what’s going on behind the scenes. Those with sophisticated knowledge of the inner workings of this network seem to like what they see. Like any investment, more transparency is usually a good thing. This seems to be the case with Neo today.
Neo is certainly an interesting blockchain network to consider. For those who are optimistic about continued global growth in the crypto space, this may be a token to put on the watch list. Indeed, Neo’s rise of over 11% at a time when the overall crypto market was up less than 1% signals that investors believe there is real near-term upside potential with this token. .
Like all cryptocurrencies, investors should exercise caution and do their due diligence before diving into a token. That said, Neo is a project that I intend to explore further by following today’s news.
This article represents the opinion of the author, who may disagree with the “official” recommendation position of a high-end consulting service Motley Fool. We are heterogeneous! Challenging an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and wealthier.