Uniswaps Healthy Uptrend: Could 38.6% More Gains Be Coming?
- The chart shows a strong bullish trend for UNI, with sideways movement initially before a sharp breakout and price surge.
- After a period of slight decline, large green candlesticks indicate continued upward momentum with strong buying pressure and market confidence.
- Price forms higher highs and lows, signaling a healthy uptrend, but some selling pressure emerges after reaching the $7.5 level.
- Despite the pullback, if the price holds above $6.57.0, the uptrend remains intact, suggesting potential for further gains.
The chart presents a strong bullish trend for Uniswap, with a period of initial sideways movement within a low-volatility range. Following a correction and gradual decrease, the token saw a sudden breakout with a steep increase in price and trading activity.
Uniswap currently trades at $7.03, with a 24h trading volume of $485.64 million and a market cap of $4.42 billion. The UNI price has gone up by 6% over the last 24h. The price of Uniswap has also gone up by 38.6% over the last 7 days, showing strong potential for further momentum.
The momentum was sustained with big green candlesticks, reflecting solid demand and confidence from the marketplace. The price rose sharply, making successively higher highs and higher lows, a classic sign of a strong trend.
Nonetheless, upon peaking over the $7.5 level, there was some selling pressure that led to a pullback and a series of red candlesticks. This is an indication that traders are liquidating positions or that there is a resistance point at that level.
Uniswap Pullback Signals Volatility, Gains Possible
Even with the pullback, if the price stays above the range of $6.57.0, the trend is still intact, and gains are likely. Overall, there is a bullish sentiment, although there is potential for temporary consolidation or correction before proceeding with the next push up.
Uniswap (UNI) has demonstrated a strong trend, with a recent peak at about $7.12, only backing off a bit to the $7.01 level.
The rally coincided with a broadening of the Bollinger Bands, reflecting rising volatility, with the price reaching the upper band at around $7.62, usually a sign of overbought status. The RSI supports that, decreasing from a reading of overbought 78.58 to 68.67, implying that the momentum of the rally is slowing.
Support Levels and Market Outlook
Meanwhile, the MACD still remains above zero, demonstrating ongoing bullishness, yet with a narrowing histogram that illustrates diminishing momentum. The VWMA and support points at $5.43 and $4.74 offer a cushion if prices are retraced further.
In all, while the overall trend is still bullish, technical aspects suggest a potential temporary consolidation or brief correction. A healthy pullback into the $6.40-$6.80 zone would help the market correct before making a push back up.
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Read more: https://www.tronweekly.com/uniswaps-healthy-uptrend-could-38-gains-coming/
Text source: TronWeekly
