Recent market conditions have negatively impacted Uniswap’s (UNI) value, with a sharp decline of up to 40% following regulatory warnings from the SEC. Investors are now questioning the potential for recovery and are closely monitoring key price levels.
Recent UNI Market Trends
The UNI/USD trading pair has been struggling, consistently staying under the $10.00 mark. The price has dipped to a low of $9.50 and is trading under the 100 simple moving average, signaling a bearish trend. The SEC’s announcement caused a significant sell-off below the $13 pivot level, with UNI feeling the ripple effects of market pressures on Bitcoin and Ethereum, plummeting below its $10 support threshold.
Resistance and Support: What to Expect
As UNI trades below $10, resistance levels pose challenges for a price rebound. Immediate resistance lies near $9.45, with more considerable resistance at $10.25. A breakthrough may lead to short-term gains. Investors should also keep an eye on the $11.80 level; surpassing it could encourage a push towards $12 and potentially $13.50.
Technical Indicators and Further Risks
Without a rise above resistance levels, UNI may face further declines. Key support can be found at $8.70 and $8.50, with $7.65 as a critical level that could signal further downtrends. Technical indicators like the 4-hour MACD and RSI are hinting at a growing bearish momentum and increased selling activity.
Points to Consider
- If UNI cannot overcome resistance levels, the likelihood of continued loss increases.
- Support levels of $8.70, $8.50, and $7.65 are crucial to prevent a steeper fall.
- A recovery could face hurdles at resistance levels of $9.45, $10.00, and $10.25.
While investors remain cautious, observing these resistance and support levels could be key in predicting UNI’s market movements. The potential for recovery or further loss hinges on the cryptocurrency‘s ability to navigate these critical price thresholds.
