The month-long fight in the UNI market ended in a crushing victory for sellers. Buyers’ unsuccessful attempt to break the triangle upper trend line turned into a sharp UNI price fall by 20% on 7 December.
Trading volumes remain low. Buyers are not even trying to change the situation. Although a sharp price bounce could put sellers in their place. In the previous article, we wrote about a critical point of $3.3 that can provide a bright future for UNI market.
However, on 8 December, sellers easily managed to lower the price to a critical point and close the daily candle at $3.3. If you look at the situation in more detail, it becomes clear that it was one impulse to which buyers did not actually respond.
Where the bottom lies?
Thus, the UNI price implemented a negative scenario, and the prospect of falling remains. At the time of writing, sellers are trying to fix below the mark of $3. The absence of sharp rebounds during local price stops does not give a chance to even think about a price reversal.
Buyers should pass the main test in the range of $2.7-2.8. This range is the only obstacle in sellers’ way to the mark of $2.4. Looking at the chart history, this range has always had a local function and has not affected the global situation.
Therefore, if the UNI price confidently fixes above this range it will indicate the exhausted sellers’ strength and the correction ending.
The UNIBTC pair gives us an interesting hint:
The price stop in the yellow range shows its relevance and the presence of a buyer willing to keep the price. This fact hints at a slowdown in the UNI market downward trend.
Given that the BTC fall dynamics is positive and the test in the range of $17,200-17,400 is very likely, the UNI price will definitely fall. Though, it does not have to be identical momentum to the one we see now in the market.
When will there be a positive in the UNI market?
If the price confidently fixes above $3.8 it will allow buyers to start building a new local trend. The active UNI growth will begin after taking control of $3.5. Below this mark, the initiative in the UNI market belongs to sellers.