Uniswap’s UNI token has broken below a critical support level held since March 2022, signaling potential for further price decline. Trading around $3.85, the asset saw its volume drop as derivative data reveals traders are leaning into short positions. However, spot outflow data suggests some long-term investors may be accumulating at lower prices.
The price of Uniswap‘s UNI token has declined amid bearish market conditions, losing a key support level it had maintained since June 2022. This breakdown has opened the door for further downside movement.
As of the latest data, UNI’s price fell 5.10% to trade around $3.85. The asset’s trading volume also declined notably by 9% to $395 million.
Weekly chart analysis shows UNI closed a candle below the $4.10 support level it held since March 2022. This bearish price action suggests a significant downside move could be forthcoming.
If UNI fails to reclaim the $4.10 level, the price could decline by another 45% toward the next support at $2.30. Technical indicators currently show a lack of strong directional momentum.
From a derivatives perspective, traders are showing the highest interest at $3.69 on the downside and $3.99 on the upside. Data from CoinGlass shows approximately $2.10 million in short-leveraged positions against $1.63 million in long positions.
Conversely, spot market data indicates potential accumulation by long-term holders. UNI’s Spot Inflow/Outflow data recorded a modest outflow of $1.26 million worth of tokens from exchanges over 24 hours.
