The selling pressure on Uniswap’s native token, UNI, appears to have exhausted, according to data from on-chain analyst Ali Martinez. Martinez suggests that UNI could be on the verge of a breakout. Citing Intotheblock’s data, Martinez points out that over 87% of UNI holders are yet to realize a profit, indicating potential upward momentum for the token. Martinez states, “With 87.56% of $UNI holders positioned ‘Out of the Money,’ Uniswap is preparing for a breakout! UNI investors are in disbelief; selling pressure has gotten exhausted, and an important support floor was built around $4.”
Martinez also highlights a surge in the number of large UNI transactions, suggesting increased interest from institutional players and UNI whales. This trend indicates that these market participants may be positioning themselves before UNI breaks out.
However, there are two significant resistance barriers that UNI must surpass to indicate a bullish breakout. The first barrier is at $4.23, with 7,000 addresses accumulating 14.24 million UNI. The second barrier is at $4.45, where 2,000 addresses control 10.28 million UNI.
In other news, the Uniswap Foundation recently made a rare token transfer, moving a total of 9.8 million UNI, worth approximately $40.66 million. Lookonchain revealed that the foundation deposited 3.4 million UNI, worth around $14.1 million, to OKX. Additionally, the foundation deposited 3 million UNI (worth $12.45 million) and 3.4 million UNI (worth around $14.1 million) to Kraken and FalconX, respectively. This movement of such large amounts of UNI raised concerns about a potential sell-off. However, UNI’s price has remained relatively stable, experiencing only a minor loss of 1.54% over the last seven days and holding above $4.
It is important to note that these observations and speculations are based on available data and market trends, and there is no guarantee of a breakout or future price movements for UNI.
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About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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