Quantum Computing's 15-min chart breaks Bollinger Bands, KDJ signals downward trend.
ByAinvest
Friday, Jul 25, 2025 11:28 am ET1min read
IONQ--
The quantum computing sector has seen significant attention, with companies like Nvidia and IonQ at the forefront. However, recent market indicators suggest that investors may want to proceed with caution.
Nvidia, known for its graphics processing units (GPUs) and artificial intelligence (AI) capabilities, has been expanding its focus into quantum computing. The company is developing a quantum processing unit (QPU) and has a dedicated research center for advancing quantum computing. Despite its strong financial position, with $53.7 billion in cash and short-term investments, Nvidia's share price has hit a 52-week high, suggesting that the stock may be overvalued [1].
IonQ, on the other hand, is a pure-play quantum computing company with ambitious plans to build the next generation of the internet. The company has been acquiring businesses to achieve this objective, including Qubitekk, ID Quantique, and Lightsynq Technologies. However, IonQ's Q1 revenue was $7.6 million, while it reported an operating loss of $75.7 million. The company's goal of constructing a quantum-based internet is costly, and its share price valuation, as indicated by its rising price-to-sales (P/S) ratio, may not be justified [1].
The recent focus on quantum computing has been driven by government mandates to prepare for quantum computer attacks on current encryption. The National Institute of Standards and Technology (NIST) has released post-quantum cryptography standards, and the Office of Management and Budget has issued directives requiring federal agencies to inventory cryptographic systems and develop transition plans. This government validation has created powerful tailwinds for the entire quantum ecosystem, but it may not be enough to sustain the current growth in pure-play quantum stocks [2].
Given the market's current trend and the potential overvaluation of both Nvidia and IonQ, investors may want to consider other opportunities within the broader tech sector. It is crucial to stay informed about the latest developments and expert opinions to make well-informed investment decisions.
References:
[1] https://finance.yahoo.com/news/better-quantum-computing-stock-nvidia-104500721.html
[2] https://www.aol.com/real-reason-quantum-computing-stocks-090000932.html
NVDA--
QUBT--
The 15-minute chart for Quantum Computing is currently exhibiting Bollinger Bands expanding downward, coupled with a KDJ Death Cross at 07/25/2025 11:15. This indicates that the market trend is being driven by sellers, with the momentum of the stock price shifting towards the downside and potentially leading to further decreases.
The 15-minute chart for Quantum Computing is currently exhibiting Bollinger Bands expanding downward, coupled with a KDJ Death Cross at 07/25/2025 11:15. This indicates that the market trend is being driven by sellers, with the momentum of the stock price shifting towards the downside and potentially leading to further decreases.The quantum computing sector has seen significant attention, with companies like Nvidia and IonQ at the forefront. However, recent market indicators suggest that investors may want to proceed with caution.
Nvidia, known for its graphics processing units (GPUs) and artificial intelligence (AI) capabilities, has been expanding its focus into quantum computing. The company is developing a quantum processing unit (QPU) and has a dedicated research center for advancing quantum computing. Despite its strong financial position, with $53.7 billion in cash and short-term investments, Nvidia's share price has hit a 52-week high, suggesting that the stock may be overvalued [1].
IonQ, on the other hand, is a pure-play quantum computing company with ambitious plans to build the next generation of the internet. The company has been acquiring businesses to achieve this objective, including Qubitekk, ID Quantique, and Lightsynq Technologies. However, IonQ's Q1 revenue was $7.6 million, while it reported an operating loss of $75.7 million. The company's goal of constructing a quantum-based internet is costly, and its share price valuation, as indicated by its rising price-to-sales (P/S) ratio, may not be justified [1].
The recent focus on quantum computing has been driven by government mandates to prepare for quantum computer attacks on current encryption. The National Institute of Standards and Technology (NIST) has released post-quantum cryptography standards, and the Office of Management and Budget has issued directives requiring federal agencies to inventory cryptographic systems and develop transition plans. This government validation has created powerful tailwinds for the entire quantum ecosystem, but it may not be enough to sustain the current growth in pure-play quantum stocks [2].
Given the market's current trend and the potential overvaluation of both Nvidia and IonQ, investors may want to consider other opportunities within the broader tech sector. It is crucial to stay informed about the latest developments and expert opinions to make well-informed investment decisions.
References:
[1] https://finance.yahoo.com/news/better-quantum-computing-stock-nvidia-104500721.html
[2] https://www.aol.com/real-reason-quantum-computing-stocks-090000932.html
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