Uniswap price surged 12% to $6.9 on Wednesday, outperforming the general market uptick. The high momentum rally could be attributed to whale accumulation and Prometheum Capital’s announcement of adding Uniswap (UNI) and Arbitrum (ARB) to its custodial platform. The rising price is likely to challenge the downsloping resistance of the wedge pattern, indicating the potential escape from a 5-month correction.
Uniswap Price Poised for Growth After Prometheum Integration
Prometheum Capital, a subsidiary of Prometheum Inc., has announced the addition of Uniswap (UNI) and Arbitrum (ARB) to its custodial platform. This move reflects the company’s ongoing attempt to offer regulated digital securities and provide Institutional and corporate clients in the U.S. with secure access to these prominent blockchain assets.
The firm aims to leverage blockchain technology to record the on-chain record on-chain ownership of digital assets, effectively removing the need for traditional intermediaries like transfer agents. While this approach offers transparency by allowing real-time tracking of asset ownership, it also reduces the cost of traditional record-keeping methods.
Amid the announcement, the Uniswap price surged around 12% to reclaim the $7 mark.
As Prometheum focuses on providing regulated digital asset securities, this addition will uplift the Uniswap coin appeal among institutional and retail investors.
UNI Price Nearing Major Breakout
Uniswap price in the daily chart shows the formation of a falling wedge pattern. This chart setup consists of two downsloping trendlines to a steady correction in UNI price since March 2024.
Amid the recent upswing, the UNI price went from $4.7 to $7, registering a 50% growth. The rising recently breached the 20-day Exponential moving average— a key resistance to signal a change in short-term market sentiment.
If the breakout candle closes below the $6.5 level, the buyers could drive a 15% rally to $8 to challenge the wedge pattern resistance. A bullish crossover state between the MACD (blue) and signal (orange) line highlights the buyers gaining momentum to drive a higher rally.
A potential breakout from the overhead trendline signals a major trendline reversal and extends the UNI price rally to $12, followed by $17.
Alternatively, the Uniswap price trading below 100-and-200-day EMA signals the broader trendline remains bearish. Therefore, a failed breakout from the wedge resistance will delay the breakout thesis and signal the continuation of the downward trend.
Frequently Asked Questions (FAQs)
The recent 12% surge in Uniswap’s price is attributed to whale accumulation and Prometheum Capital’s announcement of adding Uniswap (UNI) and Arbitrum (ARB) to its custodial platform.
A breakout from this falling wedge could signal a major trend reversal, potentially driving UNI’s price to $12 or higher.
Uniswap’s price trading below the 100-day and 200-day Exponential Moving Averages (EMAs) suggests that the broader trend remains bearish.
Sahil Mahadik
Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
Disclaimer: 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.
Source: https://coingape.com/markets/uniswap-price-correction-prometheum-uni-custody-service/
✓ Share: