On the 1st of June, Uniswap [UNI] declined 2.30%, breaking below a key support level that had held since February. According to CoinMarketCap data, UNI fell to $2.97 over the past 24 hours, marking a significant technical breakdown. The token had spent the previous four days consolidating in a tight range around the $3.02 support level before sellers forced a breakdown. As reported by AMBCrypto, the latest decline pushed UNI below this critical support zone, which had been defended since the 5th of February.
Despite the ongoing decline, trading activity showed signs of increased engagement. According to CoinMarketCap data, Trading Volume surged 35% to $110.95 million during the same period, signaling increased market participation. The higher volume suggests traders and investors remained actively engaged with the token despite the bearish price action. However, the token continued trading below the 200-day Exponential Moving Average (EMA), reinforcing the prevailing bearish outlook.
Recent whale activity contributed significantly to the bearish sentiment. According to crypto transaction tracker Onchain Lens, a whale sold 2.16 million UNI worth $6.61 million on the 29th of May. As reported by AMBCrypto, this transaction resulted in a realized loss of $6.39 million. The sale was not an isolated event, with several large UNI transactions surfacing throughout May, indicating continued selling pressure from major holders.
Derivatives traders appeared to align with the broader market trend, reflecting growing bearish sentiment. According to CoinGlass data cited by AMBCrypto, UNI's Long/Short Ratio dropped to 0.91, indicating that bearish positions outweighed bullish bets. Following the latest decline, $2.91 and $3.09 emerged as the nearest key liquidation levels. Data showed that traders had built roughly $1.02 million worth of long positions around $2.91, while short positions near $3.09 totaled approximately $2.36 million, highlighting stronger conviction among bears.
