Uniswap Reaches Bearish Exhaustion as the Altcoin Consolidates above $9.55
The price of Uniswap (UNI) has fallen to the low of $9.55 as the bulls bought the dips. At press time, the cryptocurrency is trading at $10.88. UNI/USD is trading in the oversold zone of the market.
The market has reached a low of $9.55 in the oversold region. This means that further downward movement is unlikely. Buyers are expected to emerge in the oversold region to push prices up from their current lows. On the upside, buyers are finding it difficult to keep the price above the $12 resistance level. Thus, the upside move was rejected on January 26 when the altcoin was forced to move sideways. If the initial resistance at $12 is broken, Uniswap can rise to a high at $18.
Uniswap indicator reading
Uniswap is at level 28 of the Relative Strength Index for period 14, and the market has reached the oversold zone. This means selling pressure is likely to ease as we expect buyers to emerge in the oversold region. Likewise, UNI is below the 20% area of the daily stochastic.
Major Resistance Levels – $55.00 and $57.00
Major Support Levels – $30.00 and $28.00
What is the next direction for Uniswap?
UNI/USD is in a downtrend and the market has reached bearish exhaustion. In the downtrend from December 17, a candlestick tested the 78.6 Fibonacci retracement level. The retracement suggests that UNI will fall but reverse at the 1.272 Fibonacci extension level or $9.76. The price action shows that UNI fell to the low of $9.55 and reversed.
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.
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