Palantir Technologies Soared 400% And Why Breaking The $30 Barrier Could Signal Even Greater Gains

• Palantir Technologies has surged 400% since a low in December 2022.
• As of August 2024, Palantir's stock has again risen above $30, suggesting increasing investor confidence.

Palantir Technologies Inc PLTR has captured investors' attention with its significant rise in value. Since hitting a low in December 2022, with shares just under $6, the stock has soared by 400%.

However, this growth hasn't come without challenges. The stock's rise included periods of consolidation, where the price levels off after a rise before potentially climbing again.

From July 2023 to February 2024, Palantir's shares ranged between $13 and $21. Another consolidation phase occurred from March 2024 to August 2024, with the stock fluctuating between $20 and $29.

These periods show the market's mixed feelings and volatility as investors reassessed its value. Recently, Palantir has struggled to surpass the $30 mark, a psychological barrier and resistance level.

The stock last held above this level comfortably in February 2021. Since then, attempts to break through have often led to 'fake breakouts,' where the stock briefly exceeds $30 only to fall back, staying within a lower range.

As of August 2024, the stock has climbed back above $30, which could be significant. This rise past a traditionally tough price suggests growing investor confidence in the stock's growth potential, with increased buying momentum.

Such moves might indicate a shift in dynamics. Investors and analysts now wonder if this breakthrough is sustainable.

For it to be a true breakout, Palantir needs to stay above $30 and start showing a pattern of higher highs and lows, signaling a steady upward trend.

If this trend holds, the next resistance target could be $40, followed by the major resistance at its all-time high of $45 in January 2021.

As always, a reversal is possible, so stakeholders must watch whether Palantir maintains its upward momentum or if this is just another temporary spike.

The stock's ability to stay above these key levels could strongly indicate its future direction and potential for ongoing growth.

After the closing bell on Friday, August 16, the stock closed at $32.08, trading up by 2.75%.

This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.