Is Uniswap on track to collapse after a MACD Cross-Over?
- Uniswap was a token with strong foundations that was one of the most powerful July coins
The Uniswap protocol is a foundation for growth.
UNI still holds a key level, but bear weakness could increase
The Uniswap UNI/USD bull markets are slowing down after a strong rally. The more than 3.40% decline in the last seven days is a sign of the weakening momentum. UNI has however maintained a key level, and sent mixed signals regarding its next move.
Uniswap’s July gains are due to improved sentiment in the crypto sector. The main reason for the price increase was due to the Ethereum merger. This helped to boost DeFi tokens such as Uniswap. Robinhood listed the token on July 28th. UNI hit a high of $9.8 on July 28, after the monthly rally. The price was $4.0 at the beginning of the month.
As the latest development, the Uniswap Foundation has been created. The foundation was launched in August. It will help to grow the protocol. The foundation will encourage the creation of a $60 million fund to support various projects. Hayden Adams, the creator of Uniswap believes that the foundation will create a protocol that “thrivingly thrives.” Although this development has not yet had an effect on UNI, it highlights UNI’s long-term plans for the protocol.
UNI holds $8.4 support intact despite MACD crossover
Technically, MACD crossed below its signal line. The crossover took place after UNI consolidated and fell slightly above $8.4 resistance. The cryptocurrency has maintained its upward trend in a system that had higher highs and lower lows.
UNI traders may find the MACD crossover confusing. As long as the $8.4 support is maintained, it can go higher. Investors should pay attention to bullish signals. The token will start to fall below $8.4. The next levels will be $6.5 and $5.6