Uniswap Enters an Overbought Zone as It Retests the $7.00 High

Oct 30, 2022 at 08:09 // News
Coin Idol
Uniswap retests resistance

Uniswap (UNI) is in a sideways trend as buyers hold the price above the moving average lines. The altcoin is trying to retest the resistance at $7.00. Buyer penetration is a challenge at the $7.00 resistance level.

On October 7 and 19, buyers encountered resistance at $7.00. As a result, Uniswap fell below the moving average lines. Today, the cryptocurrency is making its third attempt to retest or break through the $7.00 resistance. UNI will rise and retarget the overriding resistance at $9.60 if the current resistance is broken. Nevertheless, UNI will decline and initiate a sideways movement if it moves down from the resistance level. 

Uniswap indicator reading 

The relative strength index for the period 14 is at the level of 60 at UNI. The altcoin is in an uptrend area, but could not overcome the resistance at $7.00. The cryptocurrency is in a negative momentum as it is below the 50% area of the daily stochastic. The horizontal slope of the 21-day and 50-day lines of SMA indicates a sideways trend. 

UNIUSD(Daily Chart) - October 29.png

Technical indicators:  
Major Resistance Levels - $18.00 and $20.00
Major Support Levels - $8.00 and $6.00 

What is the next direction for Uniswap 

UNI is fluctuating below the resistance zone after the rejection. On the 1-hour chart, the altcoin might rise slightly above the resistance level. In the October 29 uptrend, a candlestick tested the 50% Fibonacci retracement line. According to the retracement line, UNI will rise to the level 2.0 of the Fibonacci extension or $7.18. 

UNIUSD(1 Hour Chart) - October 29.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 in funds.

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