Quantum computing has been a major topic of discussion in 2025, with technology advancing rapidly. IonQ Inc (NYSE:IONQ) is a leader in the sector, experiencing a 412% year-over-year increase. However, despite this impressive growth, the stock is only slightly above its year-to-date breakeven level for 2025.
Recent market weakness has caused a 1% quarterly drawdown in IonQ stock. Interestingly, historical data suggests that this weakness could actually have bullish implications for the stock. Schaefferās Senior Quantitative Analyst Rocky White notes that IonQ stock is currently within one standard deviation of its 50-day moving average. This means that the stock has been trading above the moving average 80% of the time over the past two months, closing above the trendline in eight of the last 10 sessions.
Looking at past data, White found that three similar signals have occurred in the past three years. In these instances, IonQ stock was higher one month later 67% of the time, with an average one-month gain of nearly 20%. If this trend continues, IonQ stock could potentially see a move back above $50 for the first time since January, from its current price of $42.67.
In addition to this potential upside, there is also the possibility of a short squeeze. Short interest in IonQ stock has increased by 3% in the most recent reporting period, with 36.51 million shares sold short, accounting for 13.3% of the stock’s total available float. This could lead to a situation where short sellers are forced to cover their positions, driving the stock price higher.
Furthermore, there may be an unwinding of bearish bets in the options market. The stockās 10-day put/call volume ratio of 1.72 on the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) is currently in the 100th percentile of readings from the past year. This indicates that there is a high level of bearish sentiment in the options market, which could potentially reverse as the stock price continues to rise.
Overall, IonQ stock is showing signs of potential strength, with technical indicators and historical data pointing towards a possible uptrend in the near future. Investors should keep an eye on this stock as it continues to navigate the volatile market conditions in the quantum computing sector.
