Uniswap [UNI] prices continued to dive lower, where will it see some respite?

Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different sorts of recommendation and is solely the author’s opinion.

• Uniswap had a powerful bearish outlook within the decrease timeframes
• The confluence of a better timeframe demand zone and vary lows highlighted a important space on the worth charts

Uniswap [UNI] has been in an uptrend on the every day timeframe since early July. August noticed the bulls face rejection at $6.7, marking a possible vary that the token would commerce inside within the coming weeks.

Learn Uniswap’s [UNI] Worth Prediction 2023-24

Bitcoin [BTC] dropped from $29.6k on 14 August to commerce at $29.1k at press time. Though this was solely a 1.66% drop, it has affected the sentiment within the altcoin market closely. Uniswap confronted intense promoting strain over the previous 24 hours.

The swift current losses confirmed the vary lows won’t be defensible

Supply: UNI/USDT on TradingView

The vary formation (inexperienced) for UNI prolonged from $5.7 to $6.7. Over the previous week, the mid-range mark at $6.2 noticed some skirmishes between consumers and sellers, however a conclusive winner didn’t emerge till 15 August.

The robust promoting strain pressured UNI to nosedive beneath the $6.2 and $6 ranges. On the time of writing, UNI was buying and selling at $5.84 and inside a bullish order block on the every day timeframe. This demand zone had confluence with the vary lows as nicely.

Subsequently, if a reversal had been to happen, this is able to be the best spot. But, the OBV jumped beneath a short-term help stage as promoting quantity rocketed greater. If BTC losses continued, it seemed very possible that UNI would drop to the following zone of help at $5.2. A drop beneath $5.7 and a retest of the identical may provide a shorting alternative.

The spot CVD started to reverse its uptrend as bearish sentiment intensified

Supply: Coinalyze

Over the previous week the spot CVD was in a wholesome uptrend. However the shift in sentiment over the previous two days meant the bears had been again in management. The sharp worth drop was accompanied by a slide within the Open Curiosity. It additionally noticed a lot of lengthy liquidations.

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This confirmed lengthy positions had been pressured to promote as costs hit liquidation ranges. It was additionally accompanied by a drop within the spot CVD, displaying sellers had been wholly dominant within the brief time period.