Uniswap’s [UNI] Price Risks A Fall Near $25

Uniswap [UNI] has managed to hold on to the position as the largest DeFi token on the leaderboard. Not just that, UNI has also maintained its spot as the 8th-largest cryptocurrency by market cap, despite amassing a weekly loss of nearly 9%.

After a massive run-up last week, the bulls were attempting to push the tokens’ price back toward several key support points. Several coins along with UNI appeared to have been losing their bullish momentum.

On the 15th of March, the UNI token witnessed fresh losses of 6.48% over the last 24-hours which drove its price all the way to $30.35. It recorded a market cap of $15.8 billion and a 24-hour trading volume of $588.6 million, at the time of writing.

Uniswap [UNI] Daily Chart:

Uniswap [UNI] has been oscillating between the trendlines of a rising wedge for almost three weeks now. As per convention, the pattern formation is bearish and generally follows a breakout to the negative side. Hence, if a bearish breakout, indeed, transpires, UNI could further drop down from its recently hit peak.

The moving averages, however, remained unfazed, as they continued to hover well below the candlestick arrangement. The 50 DMA [Pink] continued to float above the 100 DMA [Blue] depicting a bullish presence despite the plunge.

The red closing bars of the Awesome Oscillator depicted a shift towards bearish momentum as Uniswap’s price took a hit. The MACD also sustained a bearish crossover shortly thereafter consistent with the price action suggesting the investors were fiercely selling the local tops.

Despite the buying demand taking a plunge, the RSI, on the other hand, continued to remain above the 50-median line which has acted as a crucial level of support. Notably, UNI has managed to stay afloat above this level of RSI since January and is showing no signs of backing down anytime soon.

While Bitcoin and other top altcoins were hit hard by the latest market-wide crash, selling pressure is yet to intensify for UNI. The DeFi token’s buying demand has decreased but was still above a crucial support.

If the bulls succeed, Uniswap could start the next leg of the uptrend that may reach its nearest resistance of $34.26 and mark new heights. However, if the price breaks below the rising pattern, UNI could witness a slew of connections before testing support at $25.9, $22.2 respectively.

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.