The native token of UniSwap, UNI, is encountering substantial difficulties as it faces potential price declines. This is attributed to a shift in interest from whales and institutional investors. On December 10, 2024, Lookonchain, a whale transaction tracker, shared on X (formerly known as Twitter) that a notable trading firm, Cumberland, offloaded a staggering 989,520 UNI tokens, valued at $16.73 million. These tokens were distributed across major platforms including Binance, Coinbase, OKX, and Robinhood. This significant sell-off occurred shortly after UNI’s price experienced a sudden 10% drop.
UNI’s Current Price Momentum
The sentiment surrounding UNI appears to lean towards bearishness. Presently, UNI is trading at approximately $16, having witnessed a 14% decrease in value over the past 24 hours. Interestingly, during this same time frame, its trading volume has surged by 15%. This increase in trading activity points to heightened engagement from both traders and investors, indicating a bearish stance and suggesting potential further price declines in the near future.
UNI Technical Analysis and Future Projections
The recent downturn in UNI’s price has led it to the critical $16 level, previously identified as a breakout point. While it was anticipated that UNI would retest this level, the rapid decline has brought it there sooner than expected. According to expert technical analysis, if UNI manages to sustain above the $14.90 mark, there is a strong likelihood that it could rally by 20%, reaching approximately $19.75 in the coming days.
On the contrary, should UNI fail to maintain this level and close a daily candle below $14.90, the token may face a potential drop of 24%, bringing it down to around $11.30 in the foreseeable future.
As the market continues to evolve, keeping a close watch on these technical levels is crucial for traders and investors looking to make informed decisions regarding UNI’s price trajectory. These developments underscore the volatile nature of the cryptocurrency market, where significant fluctuations can occur in short periods.
