• Uniswap price is under threat of another significant push south.
  • Bulls will need to show convincing momentum and defense to prevent a collapse.
  • Extremely bearish conditions across the board.
Uniswap price sits atop one of its final price support zones before a significant sell-off will likely occur. Despite having recovered over 33% of its flash-crash losses, buyers appear to be abandoning Uniswap in the interim.
 

Uniswap price perilously close to a significant drop

 
Uniswap price, from an Ichimoku perspective, is overwhelmingly bearish on the daily chart. It is currently positioned for a re-entry based on the Ideal Bearish Ichimoku Breakout setup, which Uniswap now fulfills all requirements. These requirements are:
1.       The current close below the Tenkan-Sen.
2.       The current close below the Kijun-Sen.
3.       The current close below the Cloud.
4.       The Chikou Span is below the candlesticks and in open space.
a.       Open space is a condition where the Chikou Span will not intercept the bodies of any candlesticks over the next five to ten periods.
5.       Future Span A below Future Span B.
The rules for adding to an existing short when the Idea Bearish Ichimoku Breakout setup is complete vary but generally focus on crosses below the Tenkan-Sen or failed tests above the Tenkan-Sen. The latter of which is valid for Uniswap price may encourage more short-sellers to pile in.
UNI/USDT Daily Ichimoku Chart
Failure to hold the $16 price level could trigger a fast move towards the 88.6% Fibonacci retracement at $10.30. A word of warning for any bulls attempting to add between $16 and $10: the volume profile becomes thinner the further Uniswap price moves down – meaning Uniswap will accelerate its decline the lower it goes.
Bulls could quickly invalidate any near-term bearish sentiment and bias by rallying Uniswap price to a close above the Kijun-Sen and 50% Fibonacci retracement at $19.75.

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Cryptos feed Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Ethereum price action gets boring as wETH insolvency concerns spike

Ethereum price action gets boring as wETH insolvency concerns spike

Ethereum price shows a lack of volatility as it hovers above a crucial support level. A move to the upside is unlikely until it overcomes another significant hurdle. Therefore, ETH continues to consolidate, awaiting a signal from BTC.

More Ethereum news

Three altcoins to watch this week: Dogecoin, Crypto.com and Litecoin

Three altcoins to watch this week: Dogecoin, Crypto.com and Litecoin

Despite Bitcoin's bearish price action throughout November, several altcoins have served profitable opportunities for traders to engage in.  Within the Crypto market, DOGE, LTC and CRO all show potential for more uptrend rallies.

More Dogecoin news

Why Cardano price floating around $0.30 is not a good look

Why Cardano price floating around $0.30 is not a good look

Cardano price is in a conflicting situation. While hopes for a Santa rally linger amongst crypto enthusiasts, ADA's monthly performance points to further negative returns. Cardano price has the community watching closely.

More Cardano news

Why Algorand price could continue to pack on negative returns in December

Why Algorand price could continue to pack on negative returns in December

Algorand price continues to pack on negative returns for November. As the final days of the month approach, knife-catching bulls are skimming through all digital assets looking for a last-minute opportunity.

More Algorand news

Bitcoin: Assessing chances of one last bear market rally for 2022

Bitcoin: Assessing chances of one last bear market rally for 2022

BTC is in a good place to trigger another bear market rally from a high-time frame perspective. This development, combined with the optimistic outlook seen in on-chain metrics, further strengthens the possibility of a happy ending to 2022.

Read full analysis

BTC

ETH

XRP