Uniswap Is a Unicorn but Will UNI/USDT “Top Out” At $100 This Year?
Uniswap is one of those unicorn projects in Ethereum that always almost court attention.
Parties can talk of how well the swapping protocol changed the exchange game. Meanwhile, others can’t help but notice just how attractive UNI prices are.
Uniswap Market Performance
From September 2020, UNI has maintained its position as the most valuable DeFi project.
Performance-wise, UNI is up double digits, deep in green in the past week of trading. It is now trading above a critical resistance line, now support, at the time of writing.
Without a doubt, the path of least resistance has been defined—it appears northwards—a relief.
However, the crux of the matter is whether buyers will maintain the uptrend, even proceeding to unwind losses of Ma 2021.
Notably, and this is interesting for traders, UNI prices are somehow tapered versus the USD. Amid the downtrend, the consolidation of June and July diffused the selling pressure. This aided UNI bulls to find bearing, recovering to spot level.
Technically, $15 is a critical support level.
If UNI/USDT expands from spot rate, racing to $30—it would complete the W-formation. It is precisely what the trading community needs if the uptrend is to be sustained.
Even if bears might flow back, UNI bulls all have to sustain prices above $20 and validate the bullish breakout pattern of this week.
The Inevitability of $30
The daily chart shows that UNI/USDT is trading within a bullish breakout pattern, clearing above July 2021 highs.
It is this upswing that’s cementing buyers’ hope, expecting bulls to double down, forcing prices higher.
From the daily chart of UNI/USDT, one trader says the next target is $30. This will be after the double bottoms when prices bounced from June and July 2021 lows.
UNI Offers a “Great Buy Opportunity”
However, as long as UNI continues to chart higher, there is a real chance of the coin racing towards 2021 highs of $45.
It is the prediction of one trader on Trading View who says at spot rates, UNI provides a good buy opportunity.
Based on the 4HR chart, the RSI is currently at 69, indicating that prices might temporarily retrace. Nonetheless, if UNI prices remain above $20, it will only reinforce the bullish skew.
Uniswap Prices Could Reach $70 And Top Out At $100
On the same forum, another trader is of the view that Uniswap’s uptrend is just beginning.
The trader observes that the token is trading within a bullish breakout pattern after clearing the first resistance trend line as in the 2D chart.
He describes UNI/USDT price action in the daily and weekly chart as “very strong.” Anchoring his analysis on the Elliot Wave count, the trader expects UNI prices to swell to the upside.
The analyst predicts Uniswap bulls to blast above $45—2021 highs—to register a new all-time high of $70 in the upcoming impulsive leg up.
Yet another thinks Uniswap prices will top out at $100 by the end of the year, reading from price action in the weekly chart.
At spot rates, following the formation of the triple bottoms at the lower BB, price action offers a good chance for traders to accumulate in anticipation of the upswing.
Charts courtesy of Trading View
Disclosure: Opinion is that of the author. Do your own research.