Uniswap’s UNI has seen an impressive performance since bottoming in June. Its massive bullish action triggered a staggering 191% upsurge from the lows to present highs. Nonetheless, bulls are exhibiting exhaustion tendencies. Nevertheless, UNI’s historical performance could provide insights into upcoming possibilities.
Amid its upsurge, UNI saw price levels where the token either displayed a ranging performance or retraced slightly. That has happened within Uniswap’s FIB retracement areas. For instance, the initial retracement occurred close to the 23.6% FIB level, around the $5.5 value area.
The latter had served as a resistance level in May and offered support during July sessions. Meanwhile, the 2nd resistance level happened beyond the 38.2% FIB mark. Nevertheless, UNI still resumed its uptrends.
UNI Price Action
The alternative token has so far confirmed resilience around its current price despite a slight pullback. UNI recovered briefly beyond the 61.88% FIB area, indicating the presence of healthy demand for the altcoin.
If Uniswap maintains that trend, we might witness an extended upside. A massive rally can see the alt retesting its previous March end high. Meanwhile, several factors like increased smart contract locked tokens support the ‘if.’
About 47.51% of UNI’s supply stays in ‘smart’ contracts. And the number has surged substantially since early the month. That means lowered circulation supply. That will attract more uptrends if demand remains constant or increases.
Uniswap’s volume is among the metrics to measure demand. Glassnode confirmed massive fluctuations in this index. It recovered from range lows during this publication, meaning the volume uptick could ensure positivity on UNI’s traction.
Uniswap’s exchange outflows (especially) over the past 24 hours indicated an increased demand volume than selling volume. Exchange outflows peaked near 247,000 tokens, whereas inflows hit 186,770 $UNI. Outflows exceeding inflows favor bullishness, and demand in several days will increase such chances.
Final Thought
Though the above analysis could favor uptrends for UNI, the altcoin remains correlated to BTC and the broad crypto market. The prevailing market sentiment remains bullish. However, a sudden shirt-run shift might welcome bearishness. The upcoming sessions remain crucial to watch.
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