Briefly –
- Quant broke out of a descending resistance.
- Resistance and support stand at $150 and $45.
- QNT follows an ascending support
Quant has printed declines since 8 August and might complete its close at $88.
QNT has seen its value plummeting below a descending resistance since the September 2021 all-time high of $429.69. The downside trend triggered plummets towards June lows of $40.60. However, uptrends emerged, and the token broke out of a descending resistance on 19 June. The rebound that catalyzed an upside action also helped validate the horizontal line at $45 as support.
The weekly Relative Strength Index revealed a fascinating development as the indicator remains on the verge of crossing beyond 50. Whether it succeeds in doing that or encounters rejection will determine bearishness or bullishness in the long-term trend. Extending the upside movement might take the token towards the nearest resistance at $159.
Current Pattern
The 24hr price chart shows Quant has followed ascending support since the 13 June lows. For now, the line stands at $88. Moreover, analysts expect the level to offer footing upon retracements towards the value area.
The daily Relative Strength Index supports the present plunge towards the foothold. It indicated that the token recorded bearish divergences in trading sessions between July and 11 August, a development that heralded the current downward movement. As the line coincides with the 50% Fibonacci retracement support, the price will likely rebound upon hitting the mark.
Wave Count
@TheCryptoKazi, a crypto investor, tweeted a QNT chart, highlighting a potential drop towards the $20 mark. Though that possibility, it appears the token completed a 5-wave upside move starting on 14 June. If so, prices are now correcting within an A-B-C corrective setup.
This possible move would also match the readings from the weekly and daily charts, showing possible price plunges towards ascending support before rebounding to resume upside actions. Meanwhile, enthusiasts should consider broad market cues to identify potential trends in all digital assets. While publishing this blog, most cryptos explored lows after recent highs.
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