Uniswap Coin Aims To Surpass $7 On Strength Of Bullish Pattern

The technical chart shows the Uniswap coin price forming an inverted head and shoulder pattern in the daily time frame chart. This bullish reversal pattern is known to flip the market sentiment and initiate a series of new higher highs and higher lows trends. As of now, altcoin currently trades at $6.7 with an intraday gain of 2.76%. Thus, with sustained buying, the prices should surpass the $7-$6.9 neckline resistance for the H&S pattern. Buy now?

Key points:

• The Uniswap coin price is recovering in a U-shaped pattern
• A bullish breakout from $7 resistance will accelerate the ongoing bullish rally.
• The 24-hour trading volume in the Uniswap token is $172.5 Million, indicating a 63.5% gain.

Source-Tradingview

In the past few days, the crypto market witnessed high volatility, with the release of High CPI data increasing the possibility for more interest hikes from the US Fed. However, despite this uncertainty, the Uniswap coin price managed to sustain above the $6 psychological level.

As a result, the buyers rebounded from this support on October 16th as the market sentiment eased a bit. Thus, the Uniswap coin price rose for four consecutive days, registering an 11.5% gain. Along with this price jump, the rising volume activity indicate the buyers are confident of sustaining on a higher level.

A daily candle closing above the $7 resistance will intensify the bullish momentum and encourage further growth potential for the Uniswap coin. Thus, as per the technical setup, this breakout should drive the coin price 30% high to reach the $8.5 mark.

On a contrary note, if prices turn down from the $7 resistance, a possible breakdown below $6 will offset the bullish theory. 

Technical indicator

EMAs: the rising UNI price surpasses the cluster of EMA resistance(20, 50, and 100) around $6.6-$6.4. These EMAs flipped into suitable support can assist buyers in surpassing the $7 mark.

MACD indicator: The MACD and signal line enters the bullish territory with a buy signal from their bullish crossover.

Uniswap coin intraday price levels

• Spot price: $6.72
• Trend: Bullish
• Volatility: Medium
• Resistance levels- $7 and $7.5
• Support levels- $6 and $5.66