UNI Coin Price: Will Bears Succeed In Breaking the $3.287 Low?

• After the breakdown of the rising wedge pattern, the coin price fell by almost 32%.
•  The UNI coin price has faced resistance from the 50-day EMA.

The Uniswap (UNI) coin was launched in September 2020. It is the native token of the Uniswap decentralized exchange. It is also the liquidity provider for the trading of tokens on the wider Ethereum network, known as ERC-20 tokens. The Uniswap protocol is designed to be decentralized, using a trading model known as automated liquidity protocol.

Recent Performance of the UNI Coin

The UNI coin price surged more than 40% at the beginning of this year while the bears were sitting at the supply level by forming active positions. After that, the price fell more than 50% at the demand zone showing that the sellers had the upper hand over the coin price.

In June 2023, the UNI coin’s price exhibited a bullish trend, creating a series of higher highs and higher lows within a rising wedge pattern. However, this upward momentum was met with resistance at the $6.346 level, leading to a breakdown of the rising wedge pattern at the $5.757 level.

After the breakdown, the price has dropped by more than 30%. Currently, the price is struggling above the major demand zone. As per the oscillators, the price may make a reversal soon.

In the last 24 hours, the UNI coin price has observed an increase of 0.88%. It has a current value of $4.118 with a 24-hour trading volume of $27,624,304 during the intraday trading session. The total market capitalization of the UNI coin stands at $2,376,814,422. Additionally, it has a circulating supply of 577,501,031 UNI coins.

Technicals and Price Prediction of the UNI Coin

After the breakdown of the rising wedge, the 50-day EMA made a bearish crossover with the 200-day EMA at the $5.725 level. This resulted in the fall of the current market price near the demand area. At present, the price faces resistance from the 50-day EMA which leads it to move closer to the support.

At press time, the coin’s price has established a lower high at the $4.688 level. This price point could potentially serve as a pivotal area signifying a change in the coin’s price behavior. In the last four trading sessions, the price formed a strong bearish candle, which is responsible for the breakdown of the recent support level at $4.034. However, the coin price may turn bullish after the retest of the demand zone between $3.751 and $3.287.

Furthermore, the relative strength index (RSI) is sloping below the signal line at 38.82 toward the 30-mark lower band. It shows some bullish divergence, indicating the bulls’ control over the price as of now.

Conclusion

Overall, the UNI coin price is in a downtrend. So, the price prediction for the coin would be bullish. After breaking the previous support at $4.034, the price is currently at $4.118. It is moving toward the demand area at $3.751, and from here, we may possibly see a reversal in favor of the bulls up to the $5.757 level. However, if bears succeed in closing the price below $3.287, then the downtrend will continue. 

Technical Levels

• Resistance levels: $4.688 and $6.346
• Support levels: $3.751 and $3.287

Disclaimer

The views and opinions stated by the author, or any person named in this article, are for informational purposes only. They do not establish financial, investment, or any other advice. Investing in or trading crypto assets comes with the risk of financial loss.