Uniswap’s price has experienced a significant decline of 64% from its peak of $19.5, bringing it below $10. However, the token has regained interest and is now above $8.8, oscillating near this level.
The medium-term trend remains bearish, indicated by the 50-day moving average and annual VWAP, which are oriented downwards. Nevertheless, the long-term trend is bullish. A slight increase in buyer interest, visible through its price and oscillators, has been observed.
The open interest of UNI/USDT perpetual contracts recently declined before stabilizing, suggesting a reduction of short positions and alleviating bearish pressure. However, the price recovery remains fragile and could lead to a consolidation phase.
The analysis of CVD shows that it remains in a bearish trend but displays signs of stabilization. The funding rate has returned to positive territory, reflecting renewed bullish conviction. Liquidation heat maps indicate that notable liquidation zones are above $11 and below $7.5.
If Uniswap manages to hold above $8.7, a rise to $12.5 is anticipated. Conversely, if the price fails to hold above $8.7, a pullback to $7 is conceivable. The confirmation of a sustainable reversal will depend on the market’s ability to maintain momentum.
Note: This article is for informational purposes only and should not be considered as investment advice.
Source: https://www.cointribune.com/en/uniswap-down-64-from-its-peak-a-buying-opportunity-february-13-2024-technical-analysis