Uniswap in a Brief Rally, Faces Rejection at $19 High

Jul 24, 2021 at 10:53 // News
Author
Coin Idol
The current upward movement may face resistance at the high of $19

Uniswap's share price (UNI) is bouncing higher after retesting the previous low at $13.94.

On July 21, UNI dropped to $14.06 as bulls bought the dips. This triggered UNI prices to rally to previous highs. The cryptocurrency rallied to a high of $18.70, but reached an overbought area of the market.

Still, if buyers can push UNI to the high of $25, the cryptocurrency is in the bullish trend zone. UNI /USD will tend to move higher. However, the current upward movement may face resistance at the high of $19, which will cause the altcoin to decline. On the downside, the bears will try to push the altcoin to the previous low at $13.94. If the previous act is broken, Uniswap will fall to $12.85. Meanwhile, UNI /USD is trading at $18.62 at the time of writing.

Uniswap indicator reading

The altcoin is at level 50 of the Relative Strength Index period 14. It indicates that there is a balance between supply and demand. The current bullish move is facing rejection from the 21-day line SMA. The cryptocurrency is above the 80% area of the daily stochastic. This indicates that the cryptocurrency is trading in the overbought area of the market. Sellers will emerge, which will cause the cryptocurrency to fall.

UNI_-_COINIDOL_(3).png

Technical indicators:

Major Resistance Levels - $55.00 and $57.00

Major Support Levels - $22.00 and $20.00

What is the next direction for Uniswap

Uniswap is in an uptrend. The current uptrend is meeting resistance at the recent high. Meanwhile, the uptrend tested the 78.6% Fibonacci retracement on July 23. The retracement suggests that UNI is likely to rise but reverse at the 1.272 Fibonacci extension level or the $18.72 level. From the price action, UNI's upward movement was halted at the recent high as the altcoin faces rejection.

UNI_-_COINIDOL_2_chart_(3).png

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.

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