UNI Technical Analysis: Uniswap Preps Bullish Pattern Breakout

UNI prices struggle to sustain above the 50-day SMA to create an inverted head and shoulder pattern teasing a breakout rally to reach $7. Key technical points: The UNI market price has decreased by 17% over the past week. The price action shows an inverted head and shoulder pattern in the daily chart. The 24-hour trading volume of Uniswap is $605 Million, indicating a rise of 22%. Past Performance of UNI UNI price action showcases a bullish reversal from $3.5 with a double bottom breakout resulting in a 60% price jump between June 19th and 25th. However, the reversal rally loses against the selling at $5.90, resulting in a dip to retest $4.50. Moreover, in doing so, the price action teases an inverted head and shoulder pattern forming in the daily chart. The inverse head and shoulders chart is thought to predict a bearish-to-bullish trend reversal and signals that a downward trend is nearing its end. Source- Tradingview UNI Technical Analysis The bearish retracement comes with a dip in the trading volume and halts at the 50-day SMA(red). If the UNI price sustains above $4.50 to rechallenge the $5.90 sellers, it will complete the bullish pattern and increase the likelihood of a prolonged uptrend continuation. The crucial SMAs – 50, 100, and 200-days marked as red, orange, and black maintain a bearish alignment teasing a potential reversal. However, the market price surpassing the 50-day SMA displays a rise in underlying bullish...