By Mark Ackman
On November 16, the trading price of Uniswap ended up experiencing a downtrend. Although things were going well in favor of the bullish trend, the price of Uniswap (UNI) ended up getting pulled lower.
It seems that after forming and running the rally for a long time, the bulls have finally lost their energy. They may take some time to regain their lost energy and relaunch the rally to push UNI’s price higher.
Recent Price Decline of UNI
The price chart for UNI shows that on November 16, its value started to weaken, which may be because the rally lost its momentum.
With the buying energy going down, the trading price of UNI started to move in a lower direction. As the trading session for the particular day began, the value of UNI was over the 50-day SMA ($6.43).
However, as the investors started to lose their buying power, the value of UNI started to move down. By the end of the trading day, the value of UNI was lower than the 50-day SMA.
Bullish Efforts to Make $5.66 a Higher Low
As the price of UNI started to move lower, it was only a matter of time, before it would end up falling to 5.66. This is where the bulls intervened showing that they have regained some of their lost buying power.
At the time of writing, the price of UNI is hovering around $5.66, and the bulls have no intentions of losing this mark. They want to make it a higher low so a strong barrier could be raised against the bears.
If that happens, the bears will find it very difficult to pull UNI’s price below this particular level. The bulls will have the opportunity of launching strong rallies and push UNI’s price higher.
Bullish to Attempt $7.79
Despite the recent dip, the overall sentiments of the bulls are high. They seem to have earned back their lost confidence and are ready to form stronger rallies to push UNI higher.
If the bulls successfully make $5.66 the higher low, then the bears may start to retreat. This would allow the bulls to launch a stronger buying rally to push UNI’s price higher.
If the spirits of the buyers remain high, it will only be a matter of time before they will retake the 50-day SMA. After hitting the particular mark, the bulls will make another attempt to push UNI over the $7.00 level.
The success of the bulls in achieving the $7.00 level would strengthen their confidence in leading rallies at high resistance levels.
With such strong sentiments, the bulls may continue pushing harder and finally be able to push UNI to a high of $7.79.