New Economy Movement – aka NEM ($XEM) is a dual-layer blockchain that contains an encrypted P2P messaging system. The native currency, $XEM is “harvested” – in a similar way that some coins are mined, on the network via a “Proof of Importance” algorithm. NEM v2.0, known as “Catapult” was released this week, focussing on scaling in addition to other overall enhancements.
Price absolutely surged off the back of this news release, from $0.045 to $0.125 within a few days, creating a 6-month high. If we look at the weekly chart, we can see a great Fibonacci retracement, where the 78.6% region at $0.046 was met with extreme precision, before price rocketed through both the -27 and -61.80 extension levels. Note that the candle body is currently up against the -61.8, perfectly confluencing with the region.
The short-term outlook should see how price reacts how this pump. Upside bias will be determined from whether we can close on a daily timeframe above the zone, with the $0.149 weekly top-end level a significant level. The zone may provide support for consolidation, or the pullback may drive slightly lower, however, it is unlikely the $0.034 baseline will be revisited.