Uniswap price contemplates 65% gains as UNI grapples with vital resistance

Uniswap price has been stuck below a significantly challenging resistance level for roughly five months and is finally ready to breakout. A decisive close above this barrier will kick-start a massive uptrend for UNI.

Uniswap price looks ready for a blastoff

Uniswap price rose roughly 55% over the past month as it tried to slice through the 50% Fibonacci retracement level at $29.49. This blockade has been a thorn in UNI’s side since the May 19 drop and it has not been able to breach it for over five months.

Once it breaks through, the pent-up buying pressure at that level will probably lead to a massive blastoff that will push Uniswap price to slice through the immediate resistance barriers at $33.31, or the 62% Fibonacci retracement level, and subsequent levels.

Clearing the 79% Fibonacci retracement level at $38.48 is crucial as this move would open the path to a retest of the range high at $45, aka the all-time high. The run-up from the current position to $45 would constitute a 65% ascent.

UNI/USDT 1-day chart

On the other hand, if Uniswap price fails to breach $27.48 or $29.49, it will indicate that sellers are still in control. In such a case, UNI is likely to retrace to the immediate support level at $23.47, from where it can try to make a comeback.

If sellers produce a lower low below $22.29, it will invalidate the bullish thesis. This development is likely to trigger further selling pressure, knocking UNI down to $19.45.