Key Takeaways:
- UNI price saw a strong rally above the $8 resistance before it faced sellers near $9.8.
- It is facing a major bearish trend line with resistance at $8.45 on the 4-hours chart.
- The bulls seem to be aiming a fresh move to the $10 resistance or even $12.
Uniswap’s UNI rallied over 10% in a day and surpassed $8. The price could rally further if there is close above the $8.50 resistance.
Uniswap (UNI) Price Starts Fresh Surge
This past week, UNI started a fresh rally from the $6.25 support zone against the US Dollar. The price broke many hurdles near the $7.00 level to enter a positive zone.
It even surged above the $8.0 resistance and the 50 simple moving average (4-hours). The bulls pumped the price towards the $10 level before the bears appeared. A high was formed near $9.80 before there was a downside correction.
Uniswap’s 4-hours price chart | Source: UNIUSD on TradingView.com
There was a move below the $9.50 and $9.20 support levels. The price dropped below the 23.6% Fib retracement level of the upward move from the $6.24 swing low to $9.80 high. There was also a spike below the $8.50 support level and the 50 simple moving average (4-hours).
However, the bulls were active near the $8.0 zone. The price also found support near the 50% Fib retracement level of the upward move from the $6.24 swing low to $9.80 high.
The price is now rising and trading above the $8.40 level. On the upside, an immediate resistance is near the $8.50 level. There is also a major bearish trend line with resistance at $8.45 on the 4-hours chart. The next major resistance is near the $8.95 level.
A clear wave above the $8.95 level could increase the chances of a move above $10. In the stated case, the price might even test the $12 resistance level. If not, there could be a fresh drop below the $8.20 level.
An initial support is near the $8.10 level. The next major support is near $7.60 level. It is close to the 61.8% Fib retracement level of the upward move from the $6.24 swing low to $9.80 high. A close below $7.60 may perhaps start a strong decline. In the stated case, the price might even dive below the $7.0 support.
Overall, UNI price is showing positive signs above the $8.20 resistance zone. If it clears the $8.50 and $8.65 levels, the bulls could aim a move towards $10 or even $12. Conversely, there might be a downside correction to $7.
