UNI Technical Analysis: Buyers Cushion Fallout Rally Near $7
Table of contents
Key Technical Points:
Past Performance of UNI
The Uniswap (UNI) price action shows a bullish failure to rise above the resistance confidence of the 200-day EMA and the $9.25 resistance level. The increased supply information at the confluence resulted in a downfall below the support trendline to test the crucial support at $6.75. Additionally, the bear cycle accounts for a 27% fall in market value but shows lower price rejection from the support level of $6.75.
Source - Tradingview
UNI Technical Analysis
The UNI price action shows a power struggle at the $6.75 support level, with the 100-day SMA acting as the overhead resistance. Hence, a breakout of either side can provide an entry signal for sideline traders. Despite the downfall, the 50 and 100-day EMA maintain a bullish alignment for the time being. However, the EMAs may give a bearish crossover if the price drops below the $6.75 mark.
As the RSI slope takes a lateral shift in the nearly oversold zone, reflecting an increase in underlying bearishness. Moreover, the MACD indicator shows a bear trend but a weakness in negative histograms. Hence, the technical indicators maintain an overall bearish bias.
In summary, the UNI technical analysis projects a high likelihood of a downtrend below $6.75 as the technical indicators support the bearish perspective.
Upcoming Trend
UNI prices can consolidate above $6.75 if the buyers maintain dominance at the crucial support level. Moreover, in case of a bullies trend continuation, a jump to the overhead resistance at $8 is possible.
However, a downtrend continuation below the $6.75 mark can test the psychological mark of $5.
Resistance Levels: $8 and $9.25
Support Levels: $6.75 and $5