Market

Uniswap (UNI) Price Soars 10% After Unichain Announcement

Published

5 hours ago

October 11, 2024

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Uniswap (UNI) price raised more than 10% after Uniswap Labs announced the launch of its own Layer-2, Unichain. This surge in price has driven the Relative Strength Index (RSI) to overbought levels, suggesting strong buying momentum.

The rapid increase has brought caution to the market, as overbought conditions may lead to a pullback. Key resistance and support levels will be critical in determining UNI’s next price movements.

UNI RSI Suggests Overbought Conditions

UNI’s RSI is currently at 80, up sharply from 58 in just a few hours after news about Unichain. This quick increase suggests strong buying momentum as investors reacted positively to the news.

RSI, or Relative Strength Index, measures the speed and change of price movements and is used to determine whether an asset is overbought or oversold. It ranges from 0 to 100, with values above 70 indicating overbought conditions and values below 30 signaling oversold conditions.

With an RSI of 80, UNI has entered an overbought stage, meaning that the recent price surge may have pushed the asset beyond its fair value in the short term. Overbought conditions often imply that a correction or pullback could be imminent as the buying frenzy cools off.

Investors should be cautious, as prices may become more volatile and susceptible to downward pressure if profit-taking begins. The current high RSI level indicates that UNI’s price rapid rally could soon face resistance, potentially leading to a short-term price correction.

Uniswap ADX Indicates Moderate Trend Strength

UNI’s ADX is currently at 28, up from 19 in just a few hours. This increase in ADX indicates that the strength of the current trend has been gaining momentum. ADX, or Average Directional Index, measures the strength of a trend, regardless of its direction.

It ranges from 0 to 100, with values above 25 generally indicating a strong trend and values below 20 suggesting a weak or nonexistent trend.

Even with ADX at 28, it is still below the levels seen in previous months when both uptrends and downtrends were much stronger. Although UNI’s price increased by over 10% in just a day, the current ADX suggests that the trend may not be as strong as it could be.

This indicates that while there is some momentum, it is not yet at the levels that would imply a sustained or particularly powerful movement. Traders should remain cautious, as the current trend strength might not be enough to prevent a potential reversal or significant volatility in the near term.

UNI Price Prediction: EMA Lines Indicate Potential Uptrend

UNI’s EMA lines are currently suggesting a clear uptrend, with the short-term lines positioned above the long-term ones and maintaining a fair distance between them. This configuration typically signals a bullish trend, indicating that recent price action has been favorable.

EMA lines, or Exponential Moving Averages, are a type of moving average that gives more weight to recent prices, making it more responsive to short-term movements. Traders use them to identify ongoing trends and potential reversals by observing the relationship between short-term and long-term moving averages.

UNI EMA Lines and Support and Resistance. Source: TradingView

However, as the ADX shows, the current trend is not particularly strong despite the bullish EMA pattern. If the uptrend continues and strengthens, UNI’s price could test resistance levels at $8.65 and $9.52. Breaking through these resistances could push the price as high as $12, which would be its highest since June 2024.

On the other hand, if the recent news about Unichain is not enough to sustain momentum and the trend reverses, UNI may test support levels around $7.7 and $7.5, with the possibility of falling as low as $6. That would represent a potential 28% decline.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.

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Related Topics:Announcement Price Soars UNI Unichain Uniswap

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Market

Solana (SOL) Could Regain Steam: Is a Fresh Rally Ahead?

Published

44 mins ago

October 11, 2024

admin

Solana tested the $135 support and recently corrected losses. SOL price is rising and might gain bullish momentum if it clears the $144 resistance.

SOL price is attempting a fresh increase from the $135 zone against the US Dollar.
The price is now trading below $145 and the 100-hourly simple moving average.
There was a break above a key bearish trend line with resistance at $139 on the hourly chart of the SOL/USD pair (data source from Kraken).
The pair could gain bullish momentum if it breaks the $145 resistance zone.

Solana Price Aims Higher

Solana price climbed above the $146 and $148 levels before the bears appeared. SOL traded as high as $152 and recently saw a fresh decline like Bitcoin and Ethereum.

The price declined below the $145 and $140 support levels. A low was formed at $135.39 and the price is now rising. There was a decent move above the $140 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $152 swing high to the $135.39 low.

There was a break above a key bearish trend line with resistance at $139 on the hourly chart of the SOL/USD pair. Solana is now trading below $145 and the 100-hourly simple moving average.

On the upside, the price is facing resistance near the $144 level. It is close to the 50% Fib retracement level of the downward move from the $152 swing high to the $135.39 low. The next major resistance is near the $146 level. The main resistance could be $150.

A successful close above the $150 and $152 resistance levels could set the pace for another steady increase. The next key resistance is near $162. Any more gains might send the price toward the $175 level.

Another Decline in SOL?

If SOL fails to rise above the $144 resistance, it could start another decline. Initial support on the downside is near the $138 level. The first major support is near the $134 level.

A break below the $135 level might send the price toward the $132 zone. If there is a close below the $132 support, the price could decline toward the $120 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bullish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.

Major Support Levels – $138 and $135.

Major Resistance Levels – $144 and $150.

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Market

Cumberland Hit With SEC Charges for $2 Billion Crypto Sales

Published

2 hours ago

October 11, 2024

admin

The Securities and Exchange Commission (SEC) charges Cumberland DRW as an unregistered securities dealer. Cumberland fervently denies these accusations.

The core of the SEC’s suit is whether most crypto transactions are bound by securities law, a critical issue for the future of industry regulation.

Cumberland: Unregistered Securities Dealer?

Cumberland, a DRW-based crypto market maker, faces SEC charges for operating as an unregistered dealer in the crypto space. The SEC charged Cumberland with performing these services since March 2018 and selling more than $2 billion in unregistered transactions. In response, the firm published a furious statement:

“Today we became the latest target of the SEC’s enforcement-first approach to stifling innovation and preventing legitimate companies from engaging in digital assets. We are not making any changes to our business operations…as a result of this action by the SEC,” it read.

Cumberland was wholly combative in its tone. It mentioned a recent House Financial Services Committee meeting in which the SEC was called a “rogue agency,” suggesting the SEC overstepped its authority. Additionally, it described a history of Cumberland’s efforts to meet compliance and even previous spats with SEC Chair Gary Gensler.

Cumberland’s righteous indignation looks justified, given the circumstances. The firm has had a long history in the space, and claimed it registered as a broker-dealer in 2019. However, Cumberland alleges that the SEC claimed it could only legally trade Bitcoin or Ethereum, which are under the CFTC’s looser jurisdiction.

In other words, Cumberland called the SEC’s pleas to register a “Catch-22” and a “mirage.” It shared data and access with the SEC over the years, but the agency suddenly accused them of a six-year spree of finance crimes. This mirrors a similar situation two days ago when the SEC sent a Wells Notice to Crypto.com.

Crypto.com was also combative in responding to the SEC, preemptively suing the agency before it could file charges. It accused the SEC of “regulation by enforcement,” and claimed that the SEC acted from desperation against a growing bipartisan pro-crypto consensus. Gensler seems to believe that most crypto asset transactions are securities, and that’s simply unworkable.

The text of the SEC’s charges against Cumberland makes little mention of specific unregistered securities transactions and leans on the idea that the industry is wrong to describe the majority of crypto assets as commodities. Crypto.com described this legal precedent as a battle for crypto’s future.

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.

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Market

Will It Clear The Hurdles?

Published

3 hours ago

October 11, 2024

admin

Este artículo también está disponible en español.

Bitcoin price extended losses and traded below the $60,000 zone. BTC is now attempting a recovery wave and facing hurdles near $60,800.

Bitcoin is struggling to start a fresh increase above the $61,200 zone.
The price is trading below $61,000 and the 100 hourly Simple moving average.
There is a key bearish trend line forming with resistance at $60,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could struggle to recover if it stays below the $62,000 resistance zone.

Bitcoin Price Falls Again

Bitcoin price failed to start a fresh increase above $62,000 and started a fresh decline. BTC traded below the $61,500 and $60,500 levels. It even broke the $60,000 support.

A low was formed at $58,888 and the price is now consolidating losses. There was a minor increase above the $60,000 level. The price was able to climb above the 23.6% Fib retracement level of the downward move from the $64,420 swing high to the $58,888 low.

Bitcoin price is now trading below $61,000 and the 100 hourly Simple moving average. On the upside, the price could face resistance near the $60,800 level. There is also a key bearish trend line forming with resistance at $60,800 on the hourly chart of the BTC/USD pair.

The first key resistance is near the $61,650 level or the 50% Fib retracement level of the downward move from the $64,420 swing high to the $58,888 low. A clear move above the $61,650 resistance might send the price higher. The next key resistance could be $62,000.

A close above the $62,000 resistance might initiate more gains. In the stated case, the price could rise and test the $63,200 resistance level. Any more gains might send the price toward the $64,000 resistance level.

More Downsides In BTC?

If Bitcoin fails to rise above the $60,800 resistance zone, it could start another decline. Immediate support on the downside is near the $59,600 level.

The first major support is near the $58,850 level. The next support is now near the $58,500 zone. Any more losses might send the price toward the $57,200 support in the near term.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $59,600, followed by $58,850.

Major Resistance Levels – $60,800, and $61,650.

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