UNI/USD continues to display a dynamic speculative technical ability and its current value is testing important one-week resistance.
Having achieved a high of almost 36.000000 only one week ago, the UNI/USD then slumped to almost 26.000000 within one day, underscoring the volatility the cryptocurrency can deliver. UNI/USD, as of this morning, is trading slightly below key one-week resistance levels which appear to be the 31.500000 juncture, and if broken higher, could signal another flash of speculative buying to ensue.
However, UNI/USD must first break closer resistance levels which are being demonstrated near the 30.500000 mark. Uniswap was trading near lows of approximately 27.000000 yesterday before exhibiting a solid amount of buying activity. The broad cryptocurrency market is showing signs of optimistic sentiment and UNI/USD could certainly benefit from these positive winds short term.
Intriguingly, UNI/USD was able to test all-time highs only one week ago and then produced a reversal lower. Technically, this can be explained as a natural reaction to higher values being displayed and some profit-taking being generated. The ability of UNI/USD to not drop below the 26.000000 juncture on the 24th of March, and incrementally rise in value since the reversal lower after record highs were made on the 23rd of March can be taken as a positive signal too.
UNI/USD remains a highly speculative asset and traders need to be ready for volatility. However, the past week of trading within Uniswap also correlates well with the broad cryptocurrency market. The notion that UNI/USD was able to touch record highs recently and is still within sight of those higher values may prove enticing to speculators.
If UNI/USD is able to sustain its current price above the 30.000000 juncture and positive sentiment continues to be displayed throughout the broad cryptocurrency market, Uniswap may prove to be a viable speculative buy near term. Targeting resistance levels as take-profit junctures is encouraged, but the allure of higher values is also acknowledged. If a speculator enjoys the volatility of UNI/USD and wants to pursue values which come within proximity of record highs seen one week ago without cashing out winnings, traders are urged to use trailing stops when they are able to use this tactic.
UNI/USD remains capable of fast trading. Yes, resistance levels above are attractive as speculative wagers and support levels have proven durable, but traders need to understand that the dynamics of Uniswap can still produce results which happen with lightning speed. Buying UNI/USD on slight pullbacks and aiming for higher values appears to be the logical technical wager short term.
Uniswap Short-Term Outlook:
Current Resistance: 30.500000
Current Support: 29.480000
High Target: 31.850000
Low Target: 27.350000