Uniswap Price Forecast: UNI primed for 25% surge as it rides bullish wave


  • Uniswap price is traversing an ascending parallel channel consolidation since February 20.
  • A bounce from the lower trend line suggests a 25% upswing to the upper boundary.
  • Transactional data and other on-chain metrics add to UNI’s bullish thesis.

The Uniswap price is undergoing a bounce that could propel it closer toward the upper boundary of a technical pattern.

Uniswap price primed for new highs

On the twelve-hour chart, the Uniswap price has created an ascending parallel channel formed by connecting the series of higher highs and higher lows using trend lines. This technical formation has a bearish bias that is triggered only after the lower boundary is shattered.

At the time of writing, UNI seems to have produced a 16% surge after setting up the third swing low. A continuation of this upswing will mean a 25% bull rally toward the upper trend line at $39.12.

UNI/USDT twelve-hour chart

UNI/USDT twelve-hour chart

Adding credence to the buyers’ narrative is IntoTheBlock’s In/Out of the Money Around Price (IOMAP) model revealing that 10,500 addresses holding roughly 261 million UNI tokens were purchased at an average price of $27.95. 

Hence, these investors will absorb any short-term bearish momentum. On the flip side, the density of resistance levels is relatively low, suggesting a slight surge in buying pressure could topple these barriers.

Uniswap IOMAP chart

Uniswap IOMAP chart

Supporting this upswing narrative for the DeFi coin is a massive spike in exchange outflow for UNI tokens. Specifically, 1 million UNI tokens moved out of exchange platforms, suggesting that the investors are optimistic about Uniswap’s bullish potential.

Additionally, the supply of UNI tokens on exchanges as a percent of total supply saw a 2.5% reduction since April 3.

Both the metrics display a reduced number of UNI tokens on exchange platforms, which is bullish since it effectively reduces the selling pressure.

Uniswap exchange outflow and exchange supply chart

Uniswap exchange outflow and exchange supply chart

The whales holding 1,000,000 to 10,000,000 UNI tokens have been on an accumulation spree since March 11. A total of 10 new high net worth investors have joined this category, further reinforcing the bullish outlook surrounding the Uniswap price.

Uniswap whale holder distribution chart

Uniswap whale holder distribution chart

Although the on-chain metrics point to a bullish narrative for the DeFi coin, the Uniswap price is not in the clear. A sell-off that slices through the 50 Simple Moving Average (SMA) at $30.26 and the 100 SMA at $28.29  on the twelve-hour chart will signal failing optimistic momentum.

However, a decisive close below $27.95 will invalidate the upward trajectory and catalyze a new downtrend. In such a scenario, the Uniswap price might drop 21% to the demand barrier at $22.06.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Ethereum price on cusp of massive breakout if key level holds

Ethereum price had a significant 23% correction in the past week but holds above a key support level on the 12-hour chart. The digital asset still has robust on-chain metrics supporting it and aims for a rebound.

More Ethereum News

VeChain consolidates as clear trend fails to establish

VeChain price has been on a tear since the start of 2020 and shows no sign of slowing down despite the recent market crash. Now, VET awaits a volatile breakout from its consolidation to establish a clear trend.

More VeChain News

Chainlink could be the first to recover amid market crash

Chainlink, like the rest of the market, has experienced a significant correction in the past four days However, the digital asset continues to hold above a crucial support level and on-chain metrics show it could be one of the strongest during this correction.

More Chainlink News

Cardano on-chain metrics reveal paradigm shift in nature of investors

Cardano price shows the loss of momentum from the buyers’ end, which has resulted in a breakdown of a critical support level. Now, a continuation of this momentum could ensue as blockchain data reveals a grim future for ADA.

More Cardano News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: Institutional wave of BTC adoption follows new all-time highs

Bitcoin price hitting a new all-time high and Coinbase’s direct listing are perhaps two of the most important developments surrounding the pioneer cryptocurrency over the past week.

Read the weekly forecast

BTC

ETH

XRP