Will Uniswap (UNI) turn long-term bullish breaking the resistance?
At the time of writing this post, UNI was trading around $6.29, which is around the baseline of the Bollinger Bands. On the daily chart, $5.5 is a crucial level, and if the price sustains over this level, then you can trade in Uniswap for the short term.
It is interesting to note that Bollinger Bands increase the volatility with a good volume that suggests a change in momentum for the short term. Most technical indicators, such as RSI and MACD are, suggesting bearishness.
Uniswap has been forming higher highs that suggest a positive momentum, but considering the technical indicators, it is still bearish for the short term. $5.5 is a crucial level; if UNI breaks the level, it will be bearish. However, if Uniswap sustains this level, it will provide a good return in the next few weeks. Will it sustain the level? Read our UNI price prediction to know!
On the weekly chart, after forming a bottom around $4, it was in an uptrend until it faced a long-term resistance of around $9. Later Uniswap changed the momentum and consolidated between $5.5 and $8. Even now, it has been consolidating around the baseline of the Bollinger Bands.
This week it has formed a green candle that suggests short-term bullishness, but it might not cross the resistance of $9. Indeed, the long-term chart of Uniswap looks bullish, so it is the right time to accumulate the coin until it breaks the support of $5.5.
However, if UNI breaks the support, you can accumulate more coins at a lower level to average the price for the long term. Other technical indicators, such as RSI and MACD, suggest bullishness, with an increase in volume indicating an accumulation phase of the UNI token. It has formed a higher low that makes an ideal opportunity to accumulate the coin.
Either take this opportunity or miss it because if the Uniswap token breaks the resistance of $9, it might not come to this level again. If you trust the fundamentals of Uniswap, you should start accumulating the coin from this level. Otherwise, you can add it to your watch list to invest at a lower price if it breaks the support.