The price of Uniswap falls below $9 as oversold indications appear close to support.
After breaking below the $9 mark and losing its recent consolidation range, which was between $9.20 and $9.40, Uniswap (UNI) is currently trading at $8.22, indicating a sharp decrease. With the 20-day EMA at $8.95, 50-day EMA at $9.18, 100-day EMA at $9.41, and 200-day EMA at $9.66 all stacked above as resistance, the price is currently trading far beneath the short-term EMAs. While regaining the $9.20–$9.40 pivot is still crucial for bulls, the $8.00–$7.80 area provides immediate support. A short-term fatigue of selling pressure is shown by the RSI at 28.7, which indicates highly oversold conditions.
Technical and on-chain picture
Strong bearish pressure is seen in on-chain flows. One of UNI’s biggest one-day exchange movements in months, netflows on September 22 showed -$11.79M outflows, indicating capitulation-driven selling. Even if these outflows occasionally suggest accumulation by major holdings, traders reduce their exposure in the short term, which is obviously detrimental. The market capitalization has decreased to $4.95 billion, highlighting UNI’s comparatively poor performance in comparison to competitors like PancakeSwap.
Technically, UNI is trapped below its EMA cluster at $8.95–$9.66, with downside momentum firmly in place. A sustained close above $9.20 would be required to neutralize bearish pressure and rebuild confidence. On the downside, a failure to defend $8 could accelerate selling toward $7.50–$7.20, levels not seen since Q2 2023.
Fundamental positioning and outlook
Long-term stability is maintained by Uniswap from a fundamentals standpoint. The $165 million ecosystem fund promotes protocol innovation and liquidity incentives, while the $110 million Q2 reserves provide an operational runway through 2027. Since more than $90 million in monthly protocol earnings have not yet been distributed to UNI holders or reserves, the delays around the Fee Conversion plan continue to negatively impact sentiment.
Since Toobit’s 75x leveraged UNI permanent listings earlier this month caused speculative swings, there has been further pressure due to increased volatility. The structural foundations of Uniswap, such as governance advancement, Layer-2 traction, and ecosystem resilience, endure despite the short-term turbulence caused by these derivatives.
Short-term outlook
In terms of the future, UNI is at a pivotal juncture. Relief buying may be triggered by holding the $8 floor, as oversold RSI levels suggest a recovery to $9.00–$9.20. Rejection runs the possibility of pushing the market back around $7.50, but a clear breakout over $9.40 would then pave the way for $10. The main external drivers will continue to be Bitcoin’s 57% market share, broader DeFi sentiment, and clarity in governance regarding fee-sharing.
The $9.20–$9.40 pivot zone was identified as the main battleground for UNI’s revival in a previous analysis. This opinion is supported by the current market action, as UNI broke lower and turned its attention to protecting the $8.00 support base.