TradeCityPro | QNT: Ranging Near Key Resistance in RWA Favorite👋 Welcome to TradeCity Pro!
In this analysis, I want to review the QNT coin for you. This project is one of the RWA projects that has been heavily hyped in recent months.
✔️ Currently, this coin has a market cap of $908 million and ranks 72 on CoinMarketCap.
⏳ 4-Hour Timeframe
On the 4-hour timeframe, as you can see, there is an upward trend along with a curved trendline that has caused the price to move from the bottom of 59.9 to 76.8.
💫 After the price reached the resistance at 76.8, a ranging box has formed, and volume has also been decreasing. A temporary support bottom has formed at the 73.8 area, and the price is ranging between these levels.
📊 Now, with the ranging box that has formed, the price has reached the curved trendline, and this trendline can potentially lead to bullish momentum entering the market.
💥 On the other hand, the RSI oscillator is also on important support at the 50 level, and if the price is supported by this trendline, the RSI moves upward again, and volume increases, we can enter a long position with the breakout of 76.8.
🔍 An important point about this entry is that there is a very strong resistance at the 80.1 area, and if you enter a position on the breakout of 76.8, you probably won't see much profit until the price reaches 80.1.
🎲 So basically, the 76.8 trigger is a preliminary trigger for the breakout of 80.1, and if I open a position on the breakout of 76.8, I won’t close it at 80.1 and will wait to see if the price breaks through the 80.1 area or not. In my opinion, this position is worth the risk because if 80.1 breaks, a very large reward could result from this position.
🔽 But if you want to take less risk, you can wait and open your position with the breakout of 80.1 itself. Naturally, since this area is a major resistance and the entry point is higher than 76.8, opening a position at that level will be harder and the likelihood of getting a proper confirmation candle is lower than with 76.8.
📉 For a short position, if we want to get a trigger from the chart itself, considering the decreasing volume and price reaching the curved trendline, if this trendline breaks and the 73.8 trigger is activated, we can enter a position. RSI confirmation would also be the break of the 50 area, and with that break, we could also get momentum confirmation.
🔑 But the point is that we must also consider market conditions. For example, in the current market conditions, the overall trend of Bitcoin and indexes like Total and Total2 has been bullish in recent weeks, and we can’t get bearish confirmation from these indexes.
✨ So it's possible that with the break of 73.8, the price moves downward, but because the indexes I mentioned also affect altcoins, with the continuation of their bullish trend, the downtrend of QNT may come to an end and its trigger may become a fakeout. That's why it’s better to wait for Bitcoin and the indexes to confirm a trend reversal before looking for short triggers.
📝 Final Thoughts
This analysis reflects our opinions and is not financial advice.
Share your thoughts in the comments, and don’t forget to share this analysis with your friends! ❤️
