Recent analysis shared on X and compiled by Brave New Coin indicates that Uniswap’s (UNI) token has maintained a positive trajectory following a significant breakout. Predictions surrounding UNI’s price are starting to show signs of a market recovery, buoyed by a mix of optimistic chart patterns and moderate technical momentum. Over the last 48 hours, the price activity hints at a possible reversal, even amidst minor pullbacks. As the broader cryptocurrency market finds stability, the narrative of UNI’s recovery is gaining momentum, supported by identifiable technical setups.
Bullish Pennant Indicates Potential Upside Momentum
In a recent post on X, market analyst Crypto Joe (@CryptoJoeReal) highlighted the emergence of a bullish pennant and flag pattern on the 1-hour UNI/USDT chart. This chart illustrates a classic consolidation phase characterized by converging trendlines following a previous rally, a formation typically indicative of bullish continuation. Following the breakout from this pattern, UNI’s price moved into the $7.40–$7.50 zone, where it faced short-term resistance. This movement suggests that traders are beginning to re-enter the market after a period of lower volatility.
The formation and subsequent breakout of the pennant are bolstered by volume trends, with an increase in buying volume during the breakout phase. Moreover, the 200-period moving average, situated around $6.94, has proven to be a crucial support level. As long as UNI remains above this threshold, the potential for upward movement remains viable. Analyst Crypto Joe anticipates a possible target of $8.477, provided the bullish structure remains intact. However, should the price dip below the pennant’s trendline, a retest of significant support near $6.90 may occur.
Price Movements and On-Chain Metrics Suggest Cautious Optimism
As reported by Brave New Coin, UNI is currently valued at $7.08, reflecting a 2.16% decline in the last 24 hours. Despite this slight decrease, the token holds a market capitalization of around $4.25 billion, ranking it 35th among cryptocurrencies. Trading volume has reached $316.77 million, indicating consistent market activity even in the absence of dramatic price changes. The overall market structure remains positive, with prices largely consolidating near previous breakout points. Supporting this technical outlook, analyst @UniChartz shared a trading strategy on the 1-hour chart, suggesting a long entry at $7.24, with a stop-loss set at $7.03 and a target of $7.87. This strategy is based on UNI’s recent breakthrough above a key resistance level, coupled with favorable momentum.
If this level is reclaimed with sufficient volume, short-term gains could extend into the $7.80 range. Coupled with the insights from Brave New Coin, these observations reinforce the notion that UNI may be gearing up for its next upward move.
Momentum Indicators Reflect Buyer Dominance but Warn of Caution
Conversely, the daily candlestick chart for UNI/USDT on TradingView reveals that UNI is trading at $6.632, marking a slight increase of 0.64% in the latest session. Current price movements suggest a gradual recovery after facing resistance near the $7.00 mark. The pattern of lower highs observed in recent days indicates a phase of consolidation rather than a clear trend reversal, with price levels lingering close to a significant support zone.
Technical indicators present mixed signals. The Awesome Oscillator (AO) shows a weakly positive value of 0.076, suggesting that bullish momentum is present but may need volume support to strengthen. Meanwhile, the Balance of Power (BoP) indicates a value of 0.61, favoring buyers. This suggests that despite modest price fluctuations, market sentiment is leaning towards accumulation. If prices continue to stabilize above $6.50 with backing from buyers, the potential for retesting resistance levels between $7.00 and $7.20 remains plausible in the near future.
