The 31st coin, Quant, has been showing some exceptional performance on the cryptocurrency market in the last few days. The main reason behind the growth could be tied to the recovery of the DeFi industry, as Quant offers solutions to developers building decentralized multi-chain applications.
Since September, QNT has been showing some exceptional performance, and gaining more than 100% to its value as of Oct. 17. However, the lack of long-term support from investors led to a correction and negated almost half of what it has gained since September.
The 7% growth QNT is showing right now could be the beginning of another growth cycle. From a technical perspective, the reversal occurred around the 21-day moving average, which usually acts as a short-term support level for assets in an uptrend.
However, investors should not hang too much hope on the aforementioned level, as the most likely outcome would be a reversal to the 50-day moving average and consolidation from there. Unfortunately, volume profiles show that a reversal is more likely than the continuation of the rally.
DeFi’s growth decelerates
A recovery of decentralized finance can be considered one of the main growth factors for the cryptocurrency, which focuses on building decentralized multi-chain applications with the help of Overledger technology and building the business model around it.
To build applications while using Quant’s ecosystem, developers have to hold a certain amount of tokens in their wallet, which incentivizes the asset’s growth on the market. At press time, Quant is trading at $168, with a 7% price increase in the last 24 hours.