Lighting Flickers When Using Color Quantization in Post Process Material

I’m working on a UE 5.7 post-process shader for a PS1-style look. The shader only performs simple color quantization using:

floor(Color * Levels) / Levels

The problem is that lighting transitions flicker heavily, even when the camera is completely static. The flickering only appears around color boundaries where the lighting changes from one quantized color to another.

I’ve already tested:

No TAA (AA disabled completely)

No Lumen

Different Blendable Locations

Unlit materials

No LUTs

No dithering

The issue is still visible even with a very simple quantization setup. As shown in the video, the lighting gradients themselves seem unstable, and the color quantization makes this instability very noticeable.

Is there a way to stabilize lighting values before quantization, or is there a better approach to achieve hard PS1-style color bands without this flickering?

**Video:**https://youtu.be/_E0XILysWJw