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- Whale withdrawals and shrinking UNI exchange reserves suggest rising bullish conviction.
- Defending $8.72 support remains key to unlocking targets at $12.32 and higher.
- Derivatives data shows traders leaning heavily bullish, though liquidation risks remain.
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Uniswap [UNI] is showing renewed signs of strength as fresh whale accumulation and tightening exchange reserves spark optimism for a potential breakout. A notable whale recently withdrew 408,557 UNI worth $4.11 million from Binance, signaling confidence in UNI’s long-term prospects. This move aligns with netflow data showing $1.35 million in outflows, further highlighting growing conviction among holders.
UNI Defends Crucial $8.72 Support
UNI is currently trading around $9.58, holding firm above its ascending trendline. The $8.72 level has emerged as a key support zone, with upside targets extending to $12.32, $15.33, and $18.00 if the support holds. However, any slip below this threshold could open the door to deeper losses before bullish momentum resumes.
On the technical front, the Directional Movement Index (DMI) shows moderate trend strength, with buyers still holding a slight edge. That balance remains fragile, as a shift in momentum could tilt control toward sellers.
Derivatives Traders Show Strong Bullish Bias
Derivatives data reinforces market optimism. Binance reported that 61.54% of UNI accounts are long, with a long-to-short ratio of 1.60, signaling a bullish majority. Futures markets have also flagged “Big Whale Orders”, suggesting significant capital backing potential upside.
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Still, the high concentration of long positions could expose UNI to sharper liquidations if momentum stalls. Despite this risk, derivatives activity indicates strong confidence among market participants.
Tightening Reserves Could Trigger Supply Squeeze
Also Read: Uniswap Price Jumps 14% in a Week — The $90M Governance Shift You Can’t Ignore
UNI’s exchange reserves have fallen by 4.18% to $819.78 million, reflecting reduced sell-side liquidity. Historically, shrinking reserves precede supply squeezes, amplifying price reactions to demand surges. Coupled with whale withdrawals and sustained outflows, UNI’s current setup points toward bullish continuation—provided buying demand accelerates.
Uniswap’s outlook hinges on its ability to defend the $8.72 support zone while sustaining bullish leverage in derivatives markets. With whales accumulating, exchange reserves tightening, and buyers retaining control, UNI could be gearing up for a rally toward $12.32 and beyond.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
