One crypto trader claims UNI will crash to $2.00 before the platform’s V3 launch as it was struggling to gain momentum upwards over the past few days. Following our latest crypto news, we can see that each rally of the coin was met with massive inflows of the selling pressure that will only force its price lower.
There’s no immediate catalyst for more upsides as it will still be quite some time before any governance proposal is put forward and passed for distribution of the fees to the holders, there’s no definitive date when V3 of the platform will be released. Until either of the two events happens, it remains unclear as to when the cryptocurrency will be able to see more upside momentum. One narrative that will boost the cryptocurrency in the future is the regulatory clampdown and series of hacks that were seen by centralized exchange lately.
The $150 million KuCoin hacks a few weeks ago put a spotlight on the risks that are incurred by holding capital on centralized platforms. The arrest of the OKEX founder which resulted in 200,000 BTC being locked on the platform, only bolstered the case for decentralized exchanges further. Despite the growing narrative, one trader claims UNI will continue dropping lower in the upcoming days and weeks ahead and could even hit the lower $2.00 region.
Following the recent news of the OKEx crypto exchange and withdrawals being suspended, the UNIswap token skyrocketed higher which signaled that investors are awaiting the news to provide decentralized exchanges more boosts. It has surrendered the gains since and is now trading down marginally at a price of $3.00. It seems that a break below the $3.00 support level is imminent which could kick off another bout of selling pressure. One analyst explained even that he believes a move to $2.00 is imminent for UNI. However, he noted that the token could get a near-term boost if YFI switches the strategy from Curve to Uniswap soon:
It does appear that a break below the $3.00 support level is imminent, which could kick off a fresh bout of selling pressure.
“UNI I’m shorting everything above $3.2. Alpha leak: Expecting YFI to change strategy from CRV to UNI long before UNI v3 launch.”
$UNI I’m shorting everything above $3.2.
— Mac ❄️🐺 (@MacnBTC) October 16, 2020
Unless there’s another catalyst that will shift its near-term trend, UNI will likely go on lower in the near-term.
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