• UNI faces strong resistance at $8-$8.6, limiting further bullish momentum.
• Heavy selling pressure from dormant tokens and whales weighs on price recovery.
• On-chain metrics show cautious optimism, but organic demand must increase for sustained gains.

Uniswap’s UNI recently caught attention with a strong price rally, but the bulls face growing resistance. On-chain metrics suggest potential upside, yet selling pressure looms over the current breakout. Wallet activity, exchange inflows, and declining accumulation patterns indicate caution may be wise. Traders who jumped in during the recent surge should watch key levels closely. The next few days could determine whether UNI sustains gains or slips lower.

Whale Activity and Market Movements

On 17 November, Lookonchain revealed that a wallet linked to Amber Group accumulated 1.41 million UNI tokens. Most of these, about 1.39 million, moved to Coinbase Prime, likely for custody purposes. This type of accumulation often encourages traders, signaling institutional interest. UNI previously rallied from $4.73 to $10.3, breaking a swing level at $8.6 and shifting daily market structure bullishly.

Despite this surge, the token faced a correction to $6.86. UNI rebounded by 8.9% over four days, but the $8 level now represents a significant resistance point. On-chain data suggests further gains remain possible. However, heavy selling pressure could cap upside, making the path forward challenging for bulls.

The mean coin age dropped sharply when UNI traded at $10 on 11 November, while the age consumed metric spiked. Such movements indicate previously dormant tokens are moving, often signaling selling intent. This activity generally precedes price corrections, and UNI’s correction to $6.86 confirmed the prediction. Afterward, mean coin age failed to recover, hinting that holders lacked confidence in sustaining bullish momentum.

Selling Pressure Challenges Bulls

The MVRV ratio shows holders facing losses, while exchange netflow spiked on 10-11 November, confirming increased selling pressure. Even though daily price structure remains bullish, the On-Balance Volume (OBV) is trending downward. The OBV made a lower low during retracement, highlighting the heavy supply pressure against the current price bounce.

Not everything is negative. The number of wallets holding 10k-1M UNI has grown over the past two months. Some whales are not selling and continue accumulating, suggesting selective confidence among large holders. However, widespread selling from those aiming to break even may limit upside potential. Unless organic buying picks up rapidly, bulls may struggle to push past the $8-$8.6 resistance range.

Traders should monitor whale activity, exchange inflows, and accumulation metrics closely. The interplay of these factors will likely dictate UNI’s short-term trajectory. With key support levels holding and demand pressure remaining steady, UNI could maintain momentum, but any sudden sell-off may trigger sharp retracements.

The coming days will be decisive. Market participants need to weigh the bullish daily structure against clear on-chain signals of selling intent. UNI’s performance may hinge on organic demand and continued institutional confidence. For traders, patience and vigilance remain critical as UNI navigates these challenging levels.

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