The price of Quant (QNT) has been in a prolonged downturn over the past few months, but a falling wedge pattern is signaling the potential for a bullish breakout. The QNT token has dropped to a low of $90, marking nearly a 50% decline from its November peak. With exchange reserves dwindling, investors are now wondering what’s next for Quant.
Quant Price Analysis: Falling Wedge Pattern Signals a Potential Breakout
Quant has remained in a deep bear market, plummeting over 47% from its highest level in November 2024. The token is still trading significantly below the 50-day moving average, confirming that bearish sentiment remains strong. Additionally, QNT has dipped below the 61.8% Fibonacci retracement level, a key area where price reversals often occur.
However, the formation of a falling wedge pattern—characterized by two declining, converging trendlines—suggests that a bullish breakout may be on the horizon. This setup is further reinforced by positive divergence in key oscillators, indicating that momentum is building despite continued price pressure.
If Quant rebounds from current levels, the next target could be the 23.6% retracement level at $143, representing a 60% upside from its current price. However, a drop below the $75.8 support level would invalidate this bullish outlook.
Key Catalysts Driving Quant’s Potential Recovery
Several fundamental factors support the possibility of an upward move in QNT’s price:
1. Declining Exchange Reserves Indicate Strong Holding Sentiment
One major bullish indicator is the declining amount of QNT tokens on centralized exchanges (CEXs). Data from CoinGlass reveals that exchange balances have fallen from over 1 million in December to 926,000 today. This decline suggests that investors are moving their tokens off exchanges, often a sign that they intend to hold rather than sell.
2. Quant’s Role in the Growing Real World Asset (RWA) Tokenization Industry
Quant is positioned within the rapidly expanding Real World Asset (RWA) tokenization sector. RWA technology allows users to convert the rights of physical or financial assets into digital tokens, increasing liquidity and efficiency in financial markets.
Quant’s Overledger solution plays a key role in this space by enabling interoperability between different blockchains and traditional financial systems. If RWA adoption accelerates, Quant could see significant gains.
3. Strategic Partnership with Oracle
Quant may also benefit from its relationship with Oracle, one of the world’s largest technology companies. Oracle recently launched the Oracle Blockchain Platform Digital Assets Edition (OBP DA), designed to facilitate the development of digital asset applications and unified ledgers.
Given Quant’s focus on interoperability and blockchain solutions, its collaboration with Oracle could further cement its role in the evolving digital asset ecosystem, potentially driving more institutional adoption.
With Quant’s falling wedge pattern pointing to a possible bullish breakout and fundamentals strengthening, the token appears to be approaching a pivotal moment. If buyers step in, QNT could rally toward $143 in the near term. However, traders should watch the $75.8 support level, as a break below could invalidate the bullish scenario. With declining CEX reserves, RWA industry growth, and its partnership with Oracle, Quant remains a project to watch closely in the coming months.
