China-based cryptos on the rise: NEO, Ontology, and Qtum technical analysis

Published on by Cryptoslate | Published on

The following technical analysis will evaluate whether NEO, Ontology, and Qtum have the potential for a further advance.

A double bottom or "W" pattern appears to be developing across the 1-month chart of NEO, Ontology, and Qtum.

NEO's double bottom pattern estimates that its bullish trend could soon be resumed if it is able to close above $16.60.

On its way up, NEO would have to break through a series of resistance levels that sits at $13, $20, $31, $48.5, and $67. Nevertheless, a spike in the selling pressure behind this cryptocurrency that takes it below $6.5 will invalidate the "W" pattern predicting lower lows.

Along the same lines, Ontology could surge 400 percent if its able to close above $1.53.

The bullish outlook could be impeded by the resistance levels that sit in between the current price level and the target, including $2.18, $3, $4.5, and $6.45.

Like the other two cryptos previously analyzed, if Qtum moves below the recent low of $1.60 it will put an end to the bullish scenario.

It is entirely possible and most likely that China will not allow any public blockchains to be built on and instead only allow private, permissioned blockchains that they can fully control.

In the last four days, NEO surged 95 percent, Ontology 125 percent, and Qtum 77 percent.

Now, if the double bottom pattern seen in the 1-month chart of these cryptos is validated, they could soon reach higher highs.