Uniswap Struggles Below $26 High, Can Bulls Sustain an Upturn?

Today, Uniswap (UNI) fell to a low of $24 after failing at $26 resistance. Also, bullish candlesticks suggest a possible return to the bullish trend zone.

For buyers to push the altcoin into the uptrend zone, it needs to break above the 50-day line SMA. It is possible that the bulls break through the resistance at $26. This would push the cryptocurrency asset to a high at $30. Currently, the altcoin is below the 50-day line SMA and above the 21-day line SMA. However, if the bears break below the 21-day line SMA, the altcoin will slide into the downtrend zone. This will cause the UNI to fall further into the downtrend zone. Meanwhile, buyers are struggling to break above the 50-day line SMA. 

Uniswap indicator reading

UNI is at level 51 on the Relative Strength Index for period 14, which means there is a balance between supply and demand. The 21-day line SMA and the 50-day line SMA are horizontally sloping, indicating a sideways movement. The altcoin is below the 80% range of the daily stochastics. The stochastic bands are reversing, suggesting that a bullish momentum is imminent.

Technical indicators:  

Major Resistance Levels – $55.00 and $57.00

Major Support Levels – $30.00 and $28.00

What is the next direction for Uniswap?

Uniswap is likely to make an upward move as it has risen above $17.80 support twice. The current retracement has ended as the bulls resume their upward move. Meanwhile, the September 27 uptrend has shown a candle body testing the 61.8% Fibonacci retracement level. The retracement suggests that UNI will rise to the 1.618 Fibonacci Extension level or $30.91. However, resistance at $26 must be overcome before the $30 price target can be reached.

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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