Quant (QNT) extends gains toward $80, testing breakout resistance

Key takeaways

• Quant (QNT) extends its rally toward $80, supported by rising whale and retail demand. 
• A breakout above the $80 resistance could set the stage for a potential rise toward $100. 

Quant (QNT) has extended its recent gains towards the $80 mark on Thursday, testing the potential breakout from a long-standing resistance trendline. 

The cryptocurrency’s bullish technical outlook is supported by rising leverage-based activity from large wallet investors, or whales, with a daily close above $80 paving the way for a possible rally toward the $100 target.

Whale and retail demand fuel Quant’s steady recovery

Quant’s steady short-term recovery is being driven by growing demand from both retail and large-wallet investors. 

CryptoQuant data reveals an increase in the average order size of executed orders in the leverage market, indicating heightened whale activity. Additionally, the 90-day cumulative volume difference between buy and sell orders reflects a clear buy dominance, further supporting bullish sentiment.

CoinGlass data shows that QNT futures Open Interest (OI) has surged to $17.61 million, up significantly from $16.96 million on May 1. 

This steady recovery in QNT futures is now approaching the peak of $38.27 million reached on September 21, indicating continued investor interest and positive market sentiment.

Technical outlook: Will Quant reach $100?

The QNT/USD 4-hour chart is bullish as Quant is up by 7% in the last 24 hours. It is currently trading at $78, above the 200-day Exponential Moving Average (EMA) near $77.52. 

The Moving Average Convergence Divergence (MACD) histogram is positive, with the MACD line crossing above its signal and both moving above zero, signaling strong bullish momentum. 

The Relative Strength Index (RSI) hovers around 64, indicating firm bullish momentum, though edging closer to overbought territory as price approaches higher resistance levels.

If the rally continues, a decisive close above the descending trendline break level near $77.89 would confirm a breakout from the triangle pattern on the daily chart. 

Such a breakout could pave the way for a rally toward the $88.30 swing high, followed by the 127.2% Fibonacci extension level at $101.14.

However, if the bears regain control of the market, they would encounter initial support at the 50-day EMA near $72.03. 

A deeper pullback would target the 50% retracement level around $68.79, with further support found at the former rising trendline region near $67.86 and the 38.2% retracement near $66.86.