What Lies Ahead for Quant After Market Reset Cuts QNT's Price by 11%?

Over the past weekend, Bitcoin (BTC) experienced a decline of 5.6%, dropping from $91,400 to $86,300. This shift was influenced by the recent jobs report, which revealed an addition of 119,000 jobs in September, while other data releases were cancelled due to the ongoing government shutdown. The speculation regarding a potential crypto bottom may be a bit hasty.

Key Takeaways

Bitcoin's recent dip has influenced the entire crypto market, including Quant (QNT).
QNT's price is currently under pressure, hovering around key support and resistance levels.
Key levels to watch include $110.8 for resistance and $85 for potential support, with the $75 level being crucial if the bearish trend continues.
Indicators show potential for a bullish reversal if buying pressure persists.

Quant (QNT) has felt the impact of this market volatility. According to a recent report from AMBCrypto, a significant supply zone just below the psychological threshold of $100 has emerged as a crucial resistance level. On Sunday, QNT's price peaked at $105, hinting that a new bullish phase might be on the horizon. However, the subsequent market correction quickly brought Quant prices back into this supply zone.

Technical Analysis

QNT 1-week Chart
Source: QNT/USDT on TradingView

The decline below the previous higher low at $85.52 indicates a bearish structure for QNT on the weekly chart. The swing points at $58.6 and $135.6 remain of long-term interest. Last week’s rally seemed to have tested the supply zone just above $100, which is currently undergoing a retracement.

QNT 1-day Chart
Source: QNT/USDT on TradingView

The 1-day chart initially appears bullish. Notably, the 78.6% Fibonacci retracement level at $75 was defended in November, enabling the recent rally to establish a new higher high. However, the resistance at $105 from September has yet to be overcome, raising concerns for swing traders. It’s possible that the imbalance in the market (noted in the white box) and the 61.8% retracement level at $88 could prevent further downward movement.

Indicator Health Check

The On-Balance Volume (OBV) on the weekly chart has been declining since August, a trend also observable on the daily chart. Nevertheless, a recent surge in buying volume reached a new high. If this demand persists, the likelihood of a QNT recovery from the recent setback at $105 looks promising.

The Relative Strength Index (RSI) appears to be on the brink of turning bullish on the weekly chart, while it has maintained a steady bullish stance on the daily chart. Overall, the indicators suggest room for further upward movement following the current market reset.

Key Levels to Monitor

Combining these analyses, the $110.8 level is a significant weekly resistance point. If this level is breached, it could denote a bullish weekly structure. This week, a decline to the $85.7–$88 range is anticipated, during which buyers are likely to take action. Conversely, a drop below $85 would signal that the bears may be gaining strength, prompting swing traders to monitor the reaction at the $75 Fibonacci level, which played a critical role in November.

Final Thoughts

Disclaimer: The information provided in this article does not constitute financial, investment, or trading advice and reflects the author's own opinions.