Charted: Uniswap’s UNI Enters Top 10, Why It Could Soon Test $42
Uniswap’s UNI climbed over 10% and it even broke the $34.00 resistance against the US Dollar. A new all-time high is formed near $34.60 and the price is likely to rise further.
- UNI gained pace above the $30.00 and $32.00 resistance levels against the US dollar.
- The price is trading nicely above $34.00 and the 100 simple moving average (4-hours).
- There was a break above a key connecting bearish trend line at $28.00 on the 4-hours chart of the UNI/USD pair (data source from Kraken).
- The pair is likely to continue higher towards the $36.50 and $40.00 levels in the near term.
Uniswap’s UNI Breaks $34
After a sharp downside correction from well above $30.00, UNI found support near the $20.00 level. It traded as low as $18.68 and it recently started a fresh increase. It broke many hurdles near $25.00 to enter a positive zone.
There was a clear break above the $28.00 resistance and the 100 simple moving average (4-hours). There was also a break above a key connecting bearish trend line at $28.00 on the 4-hours chart of the UNI/USD pair. The bulls even pushed the price above the $32.00 resistance.
Source: UNIUSD on TradingView.com
A new all-time high is formed near $34.50 and it seems like the price could rise further. An immediate resistance is near the $36.50 level. It is close to the 1.236 Fib retracement level of the downward move from the $33.17 high to $18.68 low.
The next key resistance is near the $40.00 level. The next major stop for the bulls could be $42.00. It is near the 1.618 Fib retracement level of the downward move from the $33.17 high to $18.68 low.
Dips Supported?
If UNI price fails to settle above the $35.00 zone, it could correct lower. The first major support is near the $32.50 and $32.00 levels.
The main support is now forming near the $30.00 zone. A downside break below the $30.00 support might open the doors for a push towards the $27.50 support. Any more losses may possibly lead the price towards the $25.00 zone.
Technical Indicators
4-Hours MACD – The MACD for UNI/USD is gaining momentum in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for UNI/USD is well above the 70 level.
Major Support Levels – $32.50, $30.00 and $27.50.
Major Resistance Levels – $35.00, $36.50 and $40.00.
OhNoCrypto
via https://www.ohnocrypto.com
Aayush Jindal, @KhareemSudlow