Quant (QNT) is currently testing a crucial resistance level at $96.80, and a potential breakout could trigger a substantial uptrend. As of the latest data available, QNT is trading at $94.68, showing a 1.28% decline over the past 24 hours.
For the bullish scenario to play out, buyers must surpass this critical level to confirm a shift in the trend’s direction. However, a failure to breach this resistance level could lead to a downward correction. The looming question remains: Will QNT rally higher or face another rejection?
QNT’s Price Reaching a Crossroads
QNT has been traversing within a descending wedge pattern, typically indicative of a bullish reversal. The $96.80 resistance has consistently thwarted upward price movements, making it a pivotal juncture for the asset’s trajectory.
If the bulls manage to propel the price above this barrier, it could set the stage for a momentum surge propelling QNT towards $121.60. Subsequent breakthroughs could see QNT prices aiming for $142.90 and possibly even $170.00.
Conversely, if the resistance remains intact, a retracement towards $85.00, supported by robust levels, could be on the horizon. Additionally, the movement of Bitcoin is anticipated to influence QNT’s path forward.
To ensure a sustained advance, buyers must maintain the pressure, especially if trading volume escalates near the resistance level—potentially hinting at an imminent breakout for QNT.
Deciphering the Fundamentals
On-chain data reveals a mixed bag of signals. While the net network growth inched up by a mere 0.29%, indicating modest adoption rates, the absence of new users might impede bullish momentum.
However, the fact that 1.11% of holders are still in profit suggests a degree of favorable sentiment prevailing in the market.
Moreover, the concentration levels have remained stagnant, signifying that the whales are neither accumulating nor offloading significantly. Concurrently, a 3.61% decline in large transactions hints at waning institutional involvement.
An aggressive entry by these major players could inject the necessary impetus for QNT’s breakout.
Rising Supply or Covert Accumulation?
The increased exchange reserves by 0.02% hint at a potential uptick in selling pressure. Elevated reserves typically signify more coins available for trading, sparking volatility. If this trend persists, Quant might encounter difficulties in holding its support levels.
Conversely, a downward trend in reserves could suggest accumulation, alleviating the selling pressure. Stakeholders are advised to closely monitor reserve fluctuations as a drop in reserves might indicate a shift towards holding rather than selling—bolstering the bullish sentiment.
Impact of Forced Liquidations on Volatility
A scrutiny of the Binance liquidation heatmap unveils significant clusters between $96 and $98. A movement of QNT into this range could trigger forced liquidations, catalyzing rapid price fluctuations.
A successful breach above $98 could propel QNT towards $100 as short-sellers face liquidation pressures.
In contrast, a rejection could potentially lead to a pullback to $90, supported by robust liquidity. Traders should brace for heightened volatility in the vicinity of these levels.
Sudden price swings often arise from substantial liquidation clusters. If the bulls sustain their momentum, QNT could be on the cusp of confirming a breakout.
Quant finds itself at a critical juncture, with the $96.80 level dictating its upcoming trajectory. A breakthrough could pave the way for a rally towards $121.60, while a rejection may prompt a descent towards the $85–$90 range.
Bullish momentum, coupled with robust volume, is indispensable to validate a bullish trend reversal for QNT’s price action.