Uniswap Tests Critical Support as UNI Price Hovers Near $7.57 Amid Bearish Technical Signals

Market Overview

Uniswap’s native token Uni is currently trading at $7.57, down 0.55% over the last 24 hours, within the range of $7.42 to $7.73. The token finds itself at key times, falling just 2.1% below the 200-day simple moving average of $7.73, well below the short-term average. It shows that traders are showing moderate market participation as they are waiting for a decisive break from their current levels.

Technical photos

The technical situation at UNI presents a mixed but primarily bearish setup. The relative strength index is located at 30.0 and is located in the neutral area, but approaching an oversold condition, suggesting the possibility of relief bounce or further downside momentum. Details are MACD indicators showing bearish properties on negative histogram readings of -0.0737, indicating weaker momentum.

UNI’s price action reveals that token trading is far below the short-term moving average, with $8.62 for under 12.2% over the 20-day SMA and $9.53 for under 20.6% over the 50-day SMA. This positioning usually indicates sustained sales pressure, suggesting that the path with the least resistance remains on the downside. However, the 200-day moving average is $7.73, providing a potential floor for immediate sales pressure.

Important levels to see

The immediate support zone is around $7.27, representing both technical support and the low range of the day. A break below this level can accelerate sales pressure and open the door to deeper retracements. The current trading price of $7.57 also serves as a pivot point, with transactions below this level potentially attracting additional selling interest.

As an advantage, resistance appears at $10.36, representing the important hurdle that needs to be cleared to shift the technical outlook from weakening to neutral. The more formidable resistance level is $12.30, which could require a substantial basic catalyst to reach. The $8.62 20-day moving average indicates intermediate resistance levels that can curb short-term recovery attempts.

Market sentiment

With no significant news development in the past week, UNI price action appears to be driven primarily by technical factors and wider market sentiment. The suppressed 24-hour $18.27 million suggests that institutional participants may be waiting for a clearer directional signal before committing significant capital. The lack of catalyst-driven movement indicates that technical analysis remains a key tool for measuring short-term price directions.

Trading perspective

Risk considerations support a careful approach given current technology setups. Short-term traders may view overselling RSI readings as a potential bounce opportunity, especially when prices exceed the $7.27 support level. However, bearish MACD signals suggest that rally attempts may be limited in scope.

For swing traders, breaks and retention below $7.27 could present short opportunities targeting lower levels, but 20-day SMA landfill is $8.62, which will require a shift in the medium-term outlook. The size of the position reflects an increase in uncertainty and requires clear invalidation points to be established at the key technical level.

Conclusion

Uni faces critical tests at the current level with its bearish momentum still intact, requiring a critical break of over $8.62 to shift the technical narrative from negative to neutral.

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