The Uniswap Token (UNI) price halted its decrease on Sept 22, but the resulting upward movement was weak and has already retraced. A drop below $3.78 is expected to accelerate the rate of decrease.
UNI has been decreasing since Sept. 25, when the price reached a high of $5.55. The decrease has followed a descending resistance line, which has rejected the price thrice until now.
UNI Failure to Launch
At the time of press, the UNI price was trading inside the $3.85 support area. If UNI breaks out from the descending resistance line, the next resistance area would likely be found at $4.85. The slightly longer-term view shows that the price is currently trading near the 0.618 Fib level of the entire upward move. A breakdown below this could trigger a rapid dip to $2.85 or possibly lower. The RSI is below 50 and has not generated any bullish divergence, making it likely that the price will eventually break down.Short-Term Movement
Cryptocurrency trader @TheEurosniper outlined a UNI chart, stating that the two likeliest outcomes for the future price movement are a breakout towards $5.70 or a drop towards $2.50. The UNI increase since the Sept 22 bottom looks corrective rather than impulsive due to the significant overlap between new highs and lows. On the contrary, the decrease since Sept 25 looks impulsive, indicating that the trend is likely bearish. The wave count suggests that the price completed an A-B-C correction between Sept 22-25, and has been decreasing alongside a bearish impulse since (both shown in red). If so, the price is currently in wave 5. A preliminary target for the end of this wave could be found near $2.98, fitting with the support area previously outlined. To conclude, the UNI price is expected to eventually break down from its support area and head towards new lows. For BeInCrypto’s latest Bitcoin analysis, click here!Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Valdrin Tahiri
Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona School of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst.
(I do not have a discord and will not contact you first there. Beware of scammers)
Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona School of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst.
(I do not have a discord and will not contact you first there. Beware of scammers)
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