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BTC Pulse 2025-06-11 10:36:01

Uniswap Breaks Out of Inverse Head-and-Shoulders Pattern, Eyes 37% Upside

Uniswap Breaks Central Resistance in Bullish Reversal Pattern Uniswap (UNI) confirmed a breakout from an inverse head-and-shoulders pattern on the daily chart, which represents a robust bullish reversal. The decentralized exchange token surged over 20% in 24 hours to $8.61 on June 11 — an 84% rise from its April low. UNI market capitalization has now exceeded $5 billion, more than Aave’s. Volume also surged over 150% to $1.39 billion in one day. Technical Indicators Affirm Bullish Momentum The breakout is further cemented by several bullish indications. UNI not only busted the inverse head-and-shoulders neckline but also formed a golden cross earlier this week as the 20-day moving average penetrated above the 50-day. Momentum indicators also affirm the bullish setup: MACD and RSI trending upward Price broke a long-term downtrend of lower highs and lows Long/short ratio remains greater than 1, showing most traders expect further appreciation Open interest on UNI derivatives spiked 54% to $713 million — all-time high If the trend holds, UNI can rally another 37% to around $10.40, which matches the 24.7% Fibonacci retracement level. Uniswap Smart Wallet and Regulatory News Drive Rally Bullish sentiment is also being driven by June 10’s roll-out of Uniswap Labs’ Smart Wallet, which is intended to simplify onchain interactions with amenities like: Gas abstraction Automated token approvals Regulatory optimism has also increased at the same time. On June 9, SEC Chair Paul Atkins stated the agency has a proposed “innovation exemption” in development to facilitate easier entry for DeFi projects. The statement fueled chatter of a potential “DeFi Summer 2.0.” On-Chain Activity and Bitcoin Correlation Uniswap’s network activity reflects this renewed interest. Daily active addresses rose 92% in 24 hours, pointing to rising engagement. UNI’s rally is also tracking Bitcoin’s broader bullish movement, as BTC climbed above $110,000, driven by optimism around U.S.–China trade progress. Key Levels to Watch Despite robust uptrend momentum, buyers are seeking significant support at $8.20, the 23.6% Fibonacci retracement level. This region is often the first defense zone in uptrends. Dropping below $8.20 could lead to short-term consolidation. A break below $7.50 would invalidate the bullish breakout, and UNI could return to $4.70 support. Conclusion Uniswap’s breakout, surge volume, and favorable macro environment suggest a longer-term uptrend to $10.40 — provided key support levels hold.

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