- A double bottom formation indicates a possible bullish reversal in Quant.
- Increasing network activity and reduced foreign exchange reserves strengthen optimism about a price recovery for QNT.
Quant (QNT) Despite the recent decline in momentum, the price is showing encouraging signs of recovery, holding steady near key support levels.
At press time, QNT was trading at $104.17, down 1.05% in 24 hours. The token formed a double bottom pattern at $102, indicating potential bullish momentum.
However, the key challenge lies in breaking the resistance at $121.44 to solidify the bullish trend.
Price movement and double bottom formation
The chart shows a promising double bottom formation at $102, indicating potential bullish momentum. This pattern often suggests a reversal of a downtrend and Quant appears to be following this trajectory.
A break above the $121.44 resistance level would confirm this reversal and open the way for the next important resistance level at $145.12.
However, failure to hold $102 could result in a prolonged consolidation, delaying significant price movement. As a result, the $102 support zone is crucial for the token’s near-term future.
The parabolic SAR is already showing a point below the candle, indicating that upward momentum is building. This indicator is consistent with the possibility of further price rises, especially if QNT breaks through the resistance level.
Additionally, the relative strength index (RSI) was 46.94, reflecting a slowdown in buying interest. However, this position leaves room for growth and we can see buyer confidence strengthening once we get above the 50 level.
Together, these indicators suggest that a bullish trend is developing.
Increased network activity
Network activity has increased, reflecting increased user interest and engagement. Over the past seven days, active addresses have increased by 38.28%, while new addresses have surged by 29.50%.
This increase means greater engagement from both new and existing users, which often leads to stronger pricing action. As a result, increased participation strengthens optimism about QNT’s near-term potential.
Reduced selling pressure on quants
The number of leaked transactions surged 43.33% compared to last week, predicting a decrease in selling activity and a cumulative increase.
This trend is consistent with the increasing number of investors choosing to hold QNT rather than sell. As a result, this behavior often outpaces bullish momentum because demand is greater than supply in the market.
Foreign exchange reserves analysis
The exchange reserves of QNT decreased by 0.24% in the last 24 hours, falling to 13927M QNT. This decline reflects increased withdrawals as investors move tokens off exchanges for long-term holding.
The decline in reserves therefore signals confidence in QNT’s future potential. Additionally, lower reserves often mean less selling pressure, which supports bullish sentiment.
Read Quant (QNT) price prediction for 2024-2025
QNT was showing promising signs of a bullish breakout, driven by the formation of a double bottom, increased address activity and falling foreign exchange reserves. If the token successfully reclaims $121.44, it can aim for $145.12 and higher.
However, sustained upward momentum depends on maintaining network participation and overcoming resistance levels.
QNT’s future looks optimistic, but the days ahead will be critical in determining QNT’s direction.