ambcrypto.com
Uniswap [$UNI] faced intense bearish pressure over the past two weeks. After facing rejection at $4.50, the altcoin entered a descending channel and fell to a $3.40 low.
Over the same period, $UNI’s Trading Volume dropped 42% to $154 million, showing weaker market activity.
Why are major $UNI holders selling?
Amid the downturn, large holders increased their exchange activity significantly. According to Nazoku, a Cumberland-linked wallet transferred over $4.5 million in digital assets to Binance.
$UNI represented most of those assets. The wallet moved 1 million $UNI worth $3.48 million to Binance. It also deposited 1.5 million $UNI worth $5.25 million into Bybit through three separate transactions.
In total, the wallet moved 2.5 million $UNI worth $8.73 million to exchanges.
Even after those transfers, the wallet held 1.22 million $UNI worth $4.23 million. However, its remaining balance did not confirm whether further sales would follow.
The Cumberland-linked wallet was not alone. Two days earlier, a long-term holder sold 9.29 million $UNI worth $33.46 million. The holder reportedly executed the sale through Coinbase Prime.
Together, these transactions increased $UNI’s potential sell-side supply during an already weak market.
On top of that, Uniswap’s Exchange Supply Ratio rose for three consecutive days. The metric reached a monthly high of 0.105, showing that a larger share of $UNI’s supply sat on exchanges.
This could raise near-term selling risk. However, exchange deposits alone do not confirm completed sales.
$UNI also declined for five consecutive days, reinforcing its bearish market structure.
Can $UNI price hold above $3?
Uniswap [$UNI] remained under pressure from whales and institutional holders. Meanwhile, visible buying demand remained limited. The Bulls V Bears indicator confirmed this bearish control.
The metric stayed negative for five consecutive days, reaching approximately -60 at press time.
At the same time, $UNI’s Relative Strength Index [RSI] declined to 38. An RSI below 50 signaled weak momentum, although $UNI had not yet entered oversold territory.
These conditions could extend $UNI’s decline if large holders continue sending tokens to exchanges.
In that case, $UNI may test the $3 support level. However, renewed demand could help defend $3.40.
Final Summary
- A Cumberland-linked wallet moved 2.5 million $UNI worth $8.73 million to exchanges. Another long-term holder sold 9.29 million $UNI worth $33.46 million.
- Continued selling could push Uniswap toward $3, while renewed demand may protect $3.40.