Uniswap (UNI) Price Forecast: A Bullish Rally Could Send It 13% Higher
Since the last 1 week, Uniswap (UNI) has been trading in the bullish territory as the investors are now moving toward DEX, exchanging their USDC against other tokens.
The sudden flock of investors has led to a higher trading volume in Uniswap and other tokens. This is also fueling the recovery rally in Uniswap.
For starters, the data from Uniswap DEX reveals that USDC-based traders make up 55% of the total volume. This sudden interest in trading comes at a time when the Fed announced a new bank-based lending facility.
CPI Report Is Positive For Crypto
Uniswap, Bitcoin (BTC), and other coins have turned bullish after the US CPI report. The market was expecting a negative surprise but a reading of 6.0% has somehow calmed the markets.
If the buying pressure further intensifies, the UNI token will also extend its current rally and may reach $6.362 (50 EMA). After that, the next obvious resistance will be the other EMA lines, such as 100 and 200, on the daily chart.
The 200 EMA (daily) line is present near $6.581 and will prove to be a major hurdle as compared to the 50 or 100 EMA line.
Once the 200 EMA is conquered by the UNI bulls, the next resistance will be the $7.212 price level. On February 2021, this level was tested by the UNI bulls to no avail.
Experts believe that a break of $7.212 will turn the sentiment bullish in UNISWAP. In fact, it would propel the token around 13% - 14% higher than its current trading levels.
On the other hand, there's also a chance that Uniswap could turn directions and start trading lower. In that case, the 100 EMA (daily) present near $6.318 will prove to be highly useful for the bulls.
In the worst-case scenario, a break of this horizontal support will push the UNISWAP to touch the support at $6.294. But in the mean time, the bias and the forecast set by the experts is towards upside.