Quant Network (QNT) is one of the lowest float crypto assets on the market right now, with only 14,612,493 max tokens in existence (over 6M less than Bitcoin) and 91% of total supply available to market participants.
The Volume vs. Circulating Supply metric for Quant indicates that a mere 1.65% of the circulating supply has actually be traded over the past 24 hours. Instruments with such a low percentage of trade volume vs. circulating supply shows that not much liquidity exists on exchanges and most of the supply is actually being held by individual wallets.
Looking at chain metrics from the contract on Etherscan, Quant currently has 37937 holders, up from 37186 just two weeks ago. This shows 750 new wallets are holding QNT in cold storage, not including anyone holding their tokens on an exchange.
Typically when traders lock their coins on the blockchain its either because of large position size or plans to hold for a long period. Its not often you see short term traders locking their assets in cold storage due to excessive transfer fees and wait times.
The thin order books across exchanges helps to explain why QNT experiences such volatile movements, especially during the most recent sell off from the highs in the $400 range. Despite being down over 50% from its ATH, these metrics would indicate that investors are still very interested and actively accumulating Quant.
Price has consolidated around the psychological support of $200, returning to the most recent breakout point from $205 in early September 2021. This point in the chart is also where the 200 day moving averages sit, meaning prices are at a 200 day fair value.
Any selling pressure that pushes QNT below $200 has been met with aggressive buying, which also indicates fierce competition among bidders to get their orders filled. Long term Quant holders who believe in the fundamentals behind the project are most likely loading up while the overall market consolidates.
If supply continues to deteriorate on the open market, its possible a supply shock could send QNT back to its all time highs and beyond.
Quant launched in June 2018 with the goal of connecting blockchains and networks on a global scale, without reducing the efficiency and interoperability of the network. It is the first project to solve the interoperability problem through the creation of the first blockchain operating system.