Uniswap (UNI) is drawing attention with strong on-chain data, signaling a possible bullish breakout as it approaches key resistance levels. With over $38 billion in monthly transaction volume across Ethereum Layer-2 networks, UNI is testing the critical resistance at $13.
“The interest of institutional investors in UNI trading is a positive picture for this token,” a COINOTAG source commented. Uniswap stands out with its solid on-chain metrics and price stability, while increasing institutional interest strengthens the possibility of a break above the $13 level.
Recent on-chain data has revealed many positive indicators that have reinforced the bullish sentiment for Uniswap (UNI). In particular, the network’s net growth was recorded at 0.34%, indicating increasing user adoption. The “profitable transactions” metric increased by 1.56%, indicating that investors are making profits.
Another noteworthy point in the current on-chain analysis is the 6.92% increase in large volume transactions. This increase indicates the increasing activity of institutional investors and highlights the potential for UNI’s price to rise. As more large investors enter the market, this reinforces traders’ optimistic expectations.
Currently, Uniswap is testing the critical resistance level at $13. If the price breaks this level, a move towards the next major resistance level at $17 is possible. However, analysts note that the RSI value is at 71.56, which suggests that UNI is approaching the overbought territory. This suggests that despite the continuation of the bullish trend, traders should be cautious of possible corrections.
Over the last 24 hours, exchange reserves for UNI have increased by 0.12%, indicating a total of 68 million UNI tokens are held on exchanges. This could indicate that investors are reluctant to sell or are waiting for market movements.
Additionally, liquidation trends show a clear bias toward long positions, with $334.85K reported accumulation for long positions and $71.35K for short positions. While this signals bullish sentiment among traders, it could also create the risk of a short squeeze if market conditions suddenly change.
Recent price gains and strong on-chain signals, along with increasing volume, are bullish for Uniswap. However, the RSI approaching overbought levels and mixed signals from the exchange’s reserves suggest that investors should be cautious. If UNI breaks through the critical resistance level of $13, there is a high potential for further gains. However, it is important to be cautious about possible pullbacks and market corrections.