Let’s dive into what the monthly chart is telling us. QuantumScape peaked at astronomical levels during the 2021 SPAC and EV mania, reaching heights that now seem almost surreal. But what’s fascinating is how the stock then spent the better part of three years building a solid foundation around the $10-15 range. That’s textbook base-building behavior, and it’s exactly what you want to see before a meaningful advance.
The current price action has brought QS to what I’m calling a major resistance level around $14-15. This zone has acted as a ceiling multiple times over the past year, making it a key battleground between buyers and sellers. But here’s what has me intrigued — the recent monthly candle shows renewed strength, suggesting that buyers might finally have the ammunition to push through this stubborn overhead resistance.
What happens if QS clears this hurdle? The upside potential becomes genuinely compelling. Using Fibonacci retracement analysis from the 2021 highs, we can map out logical price targets. The 25% retracement sits around $35, while the 38.2% level targets roughly $52. Even more ambitious bulls might eye the 61.8% retracement near $83.
Of course, we’re dealing with a speculative battery technology company here, so volatility comes with the territory. The company’s path to commercialization remains uncertain, and any setbacks in development could send shares tumbling back toward support.