Uniswaps (UNI) price had a rather interesting 24 hours as the Ethereum-based altcoin escaped the bea
Uniswaps (UNI) price had a rather interesting 24 hours as the Ethereum-based altcoin escaped the bears.
The question now is whether, with the help of investors, it can continue its journey of recovering its March losses.
Uniswap – Good to Buy?
Uniswaps price rise was bullish, as it put the altcoin back in the growth race and saved it from a downtrend. This is reflected in the Moving Average Convergence Divergence (MACD) indicator.
MACD is a trend-following momentum indicator that shows the relationship between two moving averages of a securitys price. It helps identify potential buy or sell signals based on crossovers, divergences, and the strength of the trend.
Uniswap MACD. Source: TradingView
UNI observed a bearish crossover a day before the rise, its first in over a month and a half. However, as the rally restored the bullish crossover, the indicator quickly put this to rest.
This rise also inflicted optimism among investors, with participation going up. As a result, the price daily active addresses (DAA) divergence began flashing a buy signal. Price DAA divergence refers to the discrepancy between a cryptocurrencys price movement and the number of unique addresses actively transacting daily.
Uniswap Price DAA Divergence. Source: Santiment
It is flashing a bullish sign for the altcoin, which could favor its rise.
UNI Price Prediction: Multi-Week Barrier Stands Strong
Uniswaps price has been trading below the $11.6 resistance level for nearly two months. The altcoin was vulnerable to further decline, hovering below $10 yesterday before rallying by 20% in 24 hours. This rise brought it closer to the key resistance.
Breaching this barrier is important as it would enable UNI to reclaim $12 as support and head towards breaking past $13.1.
Uniswap Price Analysis. Source: TradingView
However, failure to do so may cost the altcoin this 20% rise, as Uniswaps price could fall back to $10 or lower. Testing the critical support at $9.0 will invalidate the bullish thesis.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
0.00