Will Uniswap price delay $15 breakout as institutional selling increases?

The cryptocurrency market witnessed subdued volatility during the US market session on Tuesday as BTC remained sideways at $95,000. The consolidation has stalled recovery momentum for most major altcoins, including UNI. However, there is a possibility of a sustained decline in Uniswap price due to institutional selling.

According to Coingecko, UNI price is trading at $14.16, with an intraday gain of 1.07%. The asset’s market capitalization is now $8.4 billion and the 24-hour trading volume is $1.35 billion.

Key highlights:

• A cup and a handle is driving a current recovery trend in Uniswap price.
• The next key resistance for crypto buyers is the $17 level
• Variant Fund’s transfer of 1.23 million UNI tokens to the exchange could result in market selling

Variant Fund’s UNI transfers signal a bearish outlook for Uniswap price

According to EmberCN, Variant Fund, a well-known crypto venture capital firm, transferred 1.2322 million UNI tokens (worth $17.14 million) to Coinbase Prime in a single transaction.

In the last 26 days, the company has moved a total of 3.6966 million UNI tokens worth $44.57 million, an average transfer price of $12.05 per token.

Variant was a major investment institution in Uniswap and initially received an allocation of 1.6 million UNI in September 2020. The company also strategically withdrew 774,000 UNI tokens from FTX in May 2022, securing them at a bargain price of $5.65 per token.

又一波 UNI 机构筹码的换手:加密风投 @variantfund 10 days 123.22 months ago $UNI ($17.14 million) from Coinbase Prime.
On December 26, 2018, Coinbase Prime cost 369.66 percent $UNI ($44.57 million), which is $12.05.

Variant 是 Uniswap 是投资机构之一，他们在 2020/9 获得 160 万枚 UNI… pic.twitter.com/11v4DYTEPv

– 余烬 (@EmberCN) December 3, 2024

A transfer of large amounts to exchanges could result in the asset being dumped on the open market, potentially causing downward pressure on the UNI token. This transaction also suggests institutional belief that Uniwap price may struggle to drive a sustainable uptrend.

The cup and handle pattern signals UNI’s next uptrend to $30

Since last month, Uniswap price saw a massive increase from $6.6 to $14.4, an increase of 118%. A significant increase in trading volume suggests a sustained recovery, which could mean another 18% jump to challenge the $17 resistance.

The level mentioned above is the neck line for the bullish reversal pattern that calls “cup and handle”. The chart layout resembles a teacup and projects a long accumulation trend before a major breakout.

A possible breakout would signal the end of the 35-month accumulation trend and send UNI price rising to $30.