Uniswap Price Could Surge to $8.70 as Wedge Compression Tightens

Key Insights:

• Uniswap’s falling wedge suggests a potential breakout, with targets ranging from $5.40 to $8.70.
• Strong buying momentum and tightening wedge point to a possible price surge in Uniswap.
• Bitwise’s ETF filing signals increasing institutional interest, supporting Uniswap’s price growth.

Uniswap’s price action shows signs of a potential upward movement as the cryptocurrency continues to form a falling wedge pattern. This technical setup suggests that buyers may be gaining momentum, setting the stage for a possible surge in price. The price of $UNI has been moving within a narrowing range on the 12-hour chart, indicating increasing pressure for a breakout.

Falling Wedge Formation Bullish Targets for Uniswap

A falling wedge formation is commonly seen as a bullish signal in technical analysis. Uniswap’s price has been gradually moving within this pattern, which is typically seen before a price reversal. As the wedge continues to tighten, it shows that the selling pressure is weakening, and buying pressure could soon take over. This creates the potential for a sharp rally to the upside.

According to a chart from Jonathan Carter, this pattern often leads to price increases, particularly when the breakout happens from the upper boundary of the wedge. If Uniswap follows this pattern, its price could climb towards higher levels.

With the current formation of the wedge, many traders are setting their sights on higher price levels. The initial target for Uniswap’s price is $5.40, with further potential to reach $6.00, $6.60, and possibly as high as $7.50, $8.00, or even as high as $8.70. These targets are based on the expectation that the wedge formation will lead to a strong upward movement.

Institutional Attention and ETF Filing

The buying momentum behind Uniswap is key to this potential rise. As the formation continues to play out, traders will be closely watching for a breakout, which could trigger a rally toward these price levels. The market conditions could still influence the exact timing and strength of the move. 

In addition to the technical factors, there is also growing institutional interest in Uniswap. Bitwise, a prominent investment firm, has taken steps to establish the Bitwise Uniswap ETF in Delaware. This move is seen as a precursor to the launch of a spot ETF, which could bring more institutional investors into the Uniswap market.

Bitwise’s actions indicate that they are preparing for broader institutional involvement in Uniswap. The increased attention from institutional investors could provide added support to the price of UNI. With both technical signals and institutional involvement, the potential for Uniswap’s price to reach higher levels is becoming more likely.