Uniswap price analysis reveals that UNI is currently trending towards its $5 support as the wall of sellers appears. The wall of sellers, often referred to as a “bearish flag” or “resistance line,” is an indication that traders may be taking profits, or bearish sentiment could be rising.
UNI is currently trading at $5.15 and has been oscillating between the $5.13 to $5.42 mark for the past few days. A break below $5.0 could signal further bearish momentum, while a move above the resistance line of $5 may indicate an uptrend in price action. Uniswap cryptocurrency is down by 3.73 percent, with an uptick of over 58 percent in the 24-hour trading volume, indicating a surge of activity in the market. Uniswap has a trading volume of $52,444,714 while the market cap stands at $3,932,882,312.
Uniswap price analysis: Technical analysis
Looking at the recent price action of the UNI/USD pair, Uniswap price analysis reveals the cryptocurrency has been trading in a declining trendline from a monthly peak of $6.12. The declining trendline is currently at the resistance zone of $5.6, which may indicate a bearish breakout in the near future.
The Relative strength index (RSI) also shows signs of bearish extension as the line is headed to the oversold region. The MACD indicator has also slipped below the zero line and is trending toward bearishness.
Uniswap price analysis shows that if the bears maintain their momentum, UNI/USD could dip to $4.9 in the coming days. However, a break above the resistance line at $5.4 may suggest a bullish trend in the near future.
Further technical indications show a weak bearish trend, with traders likely to sell until the $5.0 support level is broken. Additionally, market volatility is starting to increase as indicated by the bulging Bollinger bands. Uniswap’s price action is likely to be volatile in the near future, as the ATR indicator is currently exhibiting an increasing trend.
Uniswap price analysis on a 4-hour chart: Bears dominate
The 4-hour Uniswap price analysis shows that the cryptocurrency is trading in a descending triangle formation. The bearish momentum appears to be dominating as UNI/USD approaches the $5.0 support line of the triangle. The 12 EMA and 26 EMA are also sloping downwards, indicating a strong bearish trend in the near future. If UNI/USD breaks below its current support level at $5.0, a steep decline could be expected. The MACD line is also headed toward the bearish zone, signalling further bearishness in the near future.
The 4-hour chart of UNI/USD shows that the pair has been trading within a downward-sloping channel. The 50 and 100 EMA lines have also crossed downwards, signalling bearish momentum for the cryptocurrency.
In addition, the Stochastic RSI is currently in oversold territory, which may indicate a potential bullish reversal in the near future. If bears manage to push the price below $5, Uniswap may potentially test the support level of $4.9.
Uniswap price analysis conclusion
Overall, from the Uniswap price analysis and technical indicators, it appears that UNI/USD is heading toward its $5 support as the bearish trend increases in the overall market sentiment. The bears will be targeting the $4.9 support level if UNI/USD breaks below the current $5 resistance line. If bears start to take control, Uniswap could potentially dive toward its previous low of $3.50.
On the other hand, bulls are likely to target the resistance zone at $6.0 and may try to push the prices higher if they manage to break the resistance line. If Uniswap breaks above the $6.0 resistance level, it may indicate a potential bullish trend in price action and indicate an increase in buying pressure over the coming days. Overall, investors should keep a close eye on UNI/USD as volatility looks to increase shortly.
Source: https://www.cryptopolitan.com/uniswap-price-analysis-2022-12-19/