Published 8 hours ago
Reacting to last week’s sell-off, Uniswap (UNI) price broke the $4.5 range support on June 11th. The breakdown dropped to 24.8% and immediately returned to retest the broken resistance. This retest opportunity may welcome further shorting in the market and encourage further decline.
- UNI chart shows buying pressure near $3.65 level
- The 20-day EMA provides constant resistance against coin prices
- The 24-hour trading volume of the Uniswap token is $654.4 million, which is a gain of 52.6%.
Amid the April crypto crash, the UNI/USDT pair broke the March floor support at $3.75. The decline after the retest depreciated the altcoin by 54% to form a lower low of $3.38. However, the daily candle close above the $4.55 level signifies lesser demand pressures.
This new support ($4.46) halted the ongoing sell-off for almost five weeks, leading to a minor consolidation between $6 and $4.55. However, last week the crypto market was hit by another wave of selling pressure and pierced the $4.55 support.
Furthermore, the breakdown rally retested the $3.38 level, but high demand pressure immediately flipped the price. Furthermore, a retest of the broken $4.55 level flipped resistance with a sharp rise in volume activity, suggesting weakness in the bearish momentum.
However, if general market sentiment holds up, UNI sellers would drag the price down 20% to the psychological $33 mark.
Conversely, a failed attempt by sellers to close a candle below $3.38 would increase the likelihood of a reversal.
Since April, the fast-moving 20-day EMA has provided steady resistance against UNI prices, helping sellers sustain this downtrend. Therefore, a breakout of this dynamic resistance would be the first sign of recovery.
However, the daily slope of the RSI returned from the neutral level and fell below the 20-SMA, suggesting that the sellers are holding trend control.
- Resistance levels – $7.5, $9.8
- Support levels are $6.63 and $5
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