Bitcoin has been caught in a firm uptrend over the past several days, which has begun spilling over into the aggregated altcoin markets, with multiple smaller cryptocurrencies like NEO posting meteoric gains over the past-24 hours.
It does appear that the cryptocurrencies incurring the biggest gains are Chinese altcoins, which may be because they are catching the tailwinds of the Chinese President’s bullish comments on the state of the blockchain industry.
NEO Skyrockets Over 40% as Bitcoin Continues Climbing
At the time of writing, NEO is trading up over 43% at its current price of $12.28, which marks a significant climb from its daily lows of $8.45.
It is imperative to note that this latest parabolic movement came about after NEO had already incurred some decent gains, with the cryptocurrency currently trading up significantly from its weekly lows of under 7%.
This massive momentum is likely the result of President Xi’s comments regarding him wanting China to be a global leader in blockchain technology, so naturally these comments reflect favorably on prominent China-based blockchain projects like NEO.
Furthermore, Bitcoin’s recent rally is likely bolstering the cryptocurrency, as it has been able to rocket from recent lows of $7,300 to highs of $10,600, before settling at its current price of $9,700.
Powerful Narrative Driving Chinese Altcoins to Rally
NEO is not alone in its recent rally, as Tron, Ontology, and other Chinese blockchain projects have incurred massive upwards momentum over the past several hours.
Luke Martin, a prominent cryptocurrency analyst on Twitter, spoke about NEO’s rally in a tweet from earlier today, noting that a powerful narrative is driving it, which could mean that further gains are imminent.
“$NEO outperforming 7-10% in 7hrs. Narratives are a powerful thing in the alt world. Important to recognize that almost every alt move is a *trading* opportunity. Not the same as $BTC. I don’t tweet much about alts anymore but the inefficiencies will always keep me interested,” he said while pointing to the below chart.
$NEO outperforming 7-10% in 7hrs.
Narratives are a powerful thing in the alt world.
Important to recognize that almost every alt move is a *trading* opportunity. Not the same as $BTC.
I don't tweet much about alts anymore but the inefficiencies will always keep me interested. pic.twitter.com/rfN2BZOhWe
— Luke Martin (@VentureCoinist) October 27, 2019
Assuming that China does begin further embracing blockchain technology in the coming months, it is likely that cryptocurrencies associated with China-based projects will continue to see further upwards momentum.
Featured image from Shutterstock.