UNI Breaks Out Of Multi Week Falling Wedge, Here Are The Levels-UNI is up nearly 18% over the last week
-Price just broke out of a falling wedge pattern
-The 200MA has been acting as support
Uniswap has brought an amazing solution to the crypto ecosystem as decentralization continues to become more & more used. The ability to trustlessly swap tokens with one another has gained a huge amount of traction over the last year as users continue to trust centralized companies less and less. Uniswap currently accounts for nearly 22% of all decentralized exchange volume with a current 24 hour volume of 1.6B. Given this usage, we must expect UNI to continue reviving as long as BTC allows for it.
Ever since UNI broke the $25 mark earlier this month, price has respected it as support. UNI climbed nearly 120% in less than three weeks & since then it’s been consolidating in between two important levels. Just the past day, UNI managed to break out of this pattern and surge right to its major resistance zone. This resistance zone is found from $29.06-$30.27 & has held UNI down for several weeks now. For a bullish breakout to occur, UNI must break & hold this zone & that will allow it to hit its given targets.
Over the past month, UNI has been held up by its 200MA. This can be used as a good gauge as to whether or not UNI is in a bullish state. While looking at the chart, a potential path is given for UNI to follow. This would be a retest of the previous resistance trend. If this occurs & bulls fail to hold above this trend, UNI may be in for a further fall. In the case UNI breaks below its major support of $27.49 along with the 200MA, we should then expect a fall to $25 to occur at minimum.
While looking at the Stochastic RSI, we can see strength just hit the top value within the overbought region. As long as strength continues above the 80 value, UNI will continue in a bullish push. At any time if strength breaks below, we should expect a pullback to occur. The MACD just crossed above the 0 value for the first time in a week. A pullback to the 0 value is likely as the histogram has started to turn around.
UNI Intraday Analysis
Spot rate: $29.54
Trend: Neutral
Volatility: High
Support: $29.06
Resistance: $30.27
