Published 6 mins ago
The UNI/USDT technical chart showcases a textbook example over the past four months. The April to Mid-June downfall reached a low of $3.37, after which the price reverted immediately. In the last six weeks, the direction rally has reached a record high of $9.74, registering a 192%. Moreover, the ongoing rally charges toward the $10 resistance with breakout intention.
- An ascending support trendline maintains the ongoing recovery rally
- The 50-and-100 EMA nearing a bullish crossover may attract more buying orders in the market.
- The 24-hour trading volume in the Uniswap token is $332.3 Million, indicating a 16.6% gain.
Last weekend the crypto market witnessed a sudden sell-off and triggered a minor retracement in several cryptocurrencies. Thus, the UNI/USDT pair faced the same fate and plunged 10.85% lower to retest the recently breached $8 psychological resistance.
Furthermore, this new flipped support provided a suitable launchpad for coin buyers, bolstering them to resume the prevailing recovery. By the press time, the UNI price has jumped 11.64% and currently trades at the $9.22 mark.
The sustained buying should encourage UNI price to rechallenge the overhead resistance level of $9.85-$10. If buyers overcome this resistance, the recovery would extend another 27% higher to reach $12.5.
However, the higher price rejection on July 28th daily candle indicates the sellers are defending this resistance. Thus, if the coin price fails to give a candle closing above the $10 mark and shows reversal signs again, the altcoin may plummet to aligned support of the ascending trendline and $8.
The UNI price has been riding this support trendline since the beginning of the ongoing bull run, providing a dynamic support level to buyers. Therefore, until this support trendline is intact, the buyers can keep a positive bias for Uniswap (UNI) coin.
However, a breakdown below this trendline will call for a deeper price correction.
EMAs: Along with a $10 breakout, the expected rally would even reclaim the 200-day EMA slope, offering an extra edge to buyers. Moreover, the 20-day EMA act as dynamics support for UNI price.
RSI indicator: the daily-RSI slope shows relatively shorter higher highs in its chart, indicating the losing bullish momentum. This growing divergence in momentum indicators bolsters the correction theory.
- Resistance levels- $8, $6.61
- Support levels are $10 and $12.5
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.