Is Uniswap about to go lower after a MACD crossover?

• Uniswap was one of the strongest tokens in July with strong fundamentals

• Uniswap protocol proposes a new foundation to support growth

• UNI Holds Key Levels, But Bearish Weakness May Rise

After the recent strong rally, the Uniswap UNI/USD bull market is weakening. A decline of 3.40% or more over the past seven days indicates weakening momentum. However, UNI is still holding key levels and sending out various signals about potential next moves.

Uniswap’s rise in July was associated with improving sentiment in the cryptocurrency sector. The price spike, in particular, is due to the expected Ethereum merger. This has increased his DeFi tokens such as Uniswap. Another development this month was the listing of tokens on Robinhood. UNI hit a high of $9.8 on July 28, following the monthly rally. The price was off his $4.0 low at the start of the month.

The latest development was the creation of the Uniswap Foundation. The foundation, announced in early August, will support the growth of the protocol. Support the creation of a $60 million fund to fund various projects. Uniswap creator Hayden Adams hopes the foundation will build a “thriving” protocol. This development has yet to impact UNI, but highlights the protocol’s long-term map plans.

Despite MACD crossover, UNI maintains $8.4 support

Source TradingView

From a technical point of view, the MACD line broke below the signal line. The crossover comes after UNI consolidates and weakens slightly above the $8.4 support. Cryptocurrencies are also maintaining an uptrend with a system of highs and lows.

in conclusion

MACD crossovers send different signals to UNI traders. However, it could go higher as long as the token maintains the $8.4 support. Investors should watch out for bullish signals. If the token falls below $8.4, it will be further corrected. The next levels are $6.5 and $5.6.