UNI Token Aims $6.00 As Bulls Defend Crucial Support: Analysis

UNI Token Aims $6.00 As Bulls Defend Crucial Support: Analysis

The UNI token aims the $6.00 price level as the bulls managed to defend the crucial support level after the immense turbulence in the time since the launch. The hype around the token which airdropped to all of the Uniswap’s users sent the price of the asset rallying up to a high level of $8.50 as we are reading more in the latest altcoin news.

The token lost the momentum once it reached a high and dipped down towards lows of $3.75 and after the rejection, bulls have stabilized the price at $5.00 with buyers not gaining further control in the near-term price action. While speaking about the near-term outlook, one analyst explained that the cryptocurrency has to continue holding above the $4.475 as it could allow for further gains in the days and weeks ahead.

uni token
Image Courtesy of Crypto Michael. Chart via TradingView.

As for how high the altcoin could rally in the near-term, he explained that the $6.00 is the next target. There’s strong resistance at this point so this could be where the uptrend will lose steam. At the time of writing, Uniswap’s UNI token is trading up 14% at a current price of $5.02 which is the same price at which it has been trading over the morning hours. The UNI token aims a new level after dipping below the $4.00 earlier this week after the huge inflow of selling pressure which caused the price to drop down to $3.75 which is around where it formed the strong base of a support level, rallying higher.

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UNI Token 24-hour Price (Source: Coingecko)

UNI appears to be facing resistance at $5.50 as each visit to this level resulted in it seeing the huge sell-side pressure which stops the growth. In the near-term, the bulls have to continue guarding against the drop below the mid $4.00 region. One analyst explained that continued sideways trading above this region could be all that the Uniswap token has to rally up to $6.00:

 “Uniswap: Nice, I like that bounce from the area I’ve tweeted yesterday. Now hold above $4.425-4.475 and we’ll be likely seeing $6.”

The aggregated market could have a lot of influence in the near-term outlook as well as any potential developments about the imminent release of Uniswap V3. As bitcoin and the rest of the bigger crypto assets remain strong, UNI could be able to extend the momentum further.