The price of Uniswap (UNI) has initiated a downward correction as the price falls below the moving averages. Uniswap is under selling pressure at $5.81. Buyers failed to sustain the bullish momentum above the 21-day line SMA.
In addition, the upside was limited by the 21-day moving average line. At the time of writing, UNI is trading at $5.07.
The altcoin is falling and approaching the lower price area of $4.60. In the last price action, the cryptocurrency was moving between $4.60 and $6.00. On the downside, UNI could find support above $4.60. UNI will rally if the current support holds. However, if the altcoin declines and the bears fall below the $4.60 support, the market will fall back to the previous low at $3.67. In the meantime, the altcoin is moving above the $5.07 price level.
Uniswap indicator reading
UNI is at the 42 level of the Relative Strength Index for the period 14. The cryptocurrency is in the downtrend zone as it has fallen below the moving averages. The price bars are also now below the moving averages. The 21-day moving averages line is the resistance line for the price bars. The altcoin is below the 40% area of the daily stochastic. The market is in a bearish momentum. The 21-day line and the 50-day line SMAs are sloping south, indicating a downtrend.
Technical indicators:
Major Resistance Levels – $18.00 and $20.00
Major Support Levels – $10.00 and $8.00
What is the next direction for Uniswap
UNI has continued its downtrend and faces rejection at $5.81. The altcoin is now moving below the moving averages. Meanwhile, on May 12 downtrend, a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement suggests that UNI will fall to the level of 1.272 Fibonacci extension or $3.19.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
Source: https://coinidol.com/uniswap-hovers-5-00/