NAIROBI (CoinChapter.com)—Neiro Ethereum emerged as the top-performing memecoin in Aug. 2024, delivering 542% returns to investors. The impressive surge attracted attention since the token’s value rocketed despite the broader market’s mixed performance.
However, Neiro Ethereum’s rapid rise was accompanied by substantial insider selling, raising questions about the coin’s future trajectory.
According to data from Bubblemaps, insiders offloaded approximately $9 million worth of Neiro Ethereum tokens, accounting for 10% of the total supply. These early investors, “initial snipers,” liquidated a significant portion of their holdings during the rally.
The market’s response was swift, with the token’s price declining by over 22% in the past 24 hours.
Neiro Ethereum Faces Key Resistance Despite Recent Surge
The NEIRO USDT pair surged 110% in the past 24 hours, pushing its price to $0.0893. While this rapid rise has sparked interest, technical indicators suggest that the bullish momentum might be short-lived.
On the 4-hour chart, Neiro Ethereum faces a significant challenge as it struggles to break above a descending trendline. This trendline, which has consistently capped the coin’s gains since mid-Aug., continues to exert downward pressure.
The inability to clear this hurdle is a concerning signal for the ongoing rally.
Adding to the bearish outlook, the Ichimoku Cloud indicator shows Neiro Ethereum remains below the cloud, a zone often seen as resistance. The Tenkan-Sen and Kijun-Sen lines highlight resistance levels at $0.0969 and $0.1101. The current uptrend could stall if the price fails to break these levels.
Despite the technical challenges, Neiro Ethereum saw a surge in smart money inflows. Data from TrendX reveals that over 60 smart money addresses recently purchased the memecoin, resulting in a net inflow exceeding $57,000.
The buying activity has helped push the market cap close to $30 million, suggesting some confidence among experienced traders.
However, the Relative Strength Index (RSI) on the 4-hour chart is approaching oversold territory at 33.25. While this could attract short-term buyers looking for a bargain, the trend remains bearish unless Neiro Ethereum can break above the critical resistance at $0.1101.
