Uniswap faces mounting bearish pressure as both price action and derivatives participation weaken across the market.

UNI’s sharp, persistent decline has pushed traders into a defensive stance, with open interest dropping steadily and volatility cooling amid a lack of bullish conviction.

While buyers attempt to stabilise the token above key psychological levels, indicators show that further downside remains possible without renewed market engagement.

Open Interest Downtrend Confirms Bearish Sentiment

UNI/USD has endured a significant multi-day slide, falling from levels above $8.50 to near $6.26 on the latest hourly chart. Attempts to rebound have consistently failed, forming a sequence of lower highs that underscores a dominant bearish structure. The most severe portion of the sell-off occurred during the final decline from $6.5 to $6.2, marking a decisive acceleration in selling pressure and suggesting that support levels remain fragile.

Source: Open Interest

Derivatives activity reinforces this bearish momentum. Aggregated open interest contracted steadily from 226.6 million to 217.3 million, mirroring the intensity of the price decline. This behaviour indicates that traders are not only avoiding new long exposure but are actively closing or reducing positions. The synchronised fall in both price and open interest often points to de-risking, liquidation events, or the absence of fresh bullish participation across key exchanges.

With volatility compressing as participation thins, sentiment has clearly shifted into a defensive posture. Traders appear to be stepping back rather than chasing rebounds, an environment that typically precedes either continued gradual downside or a sharp breakdown if selling returns aggressively.

A sustained reversal in open interest alongside price stabilisation would be necessary before confidence returns to the market.

Data Shows Sharp 24H Drop as Market Cap Contracts

BraveNewCoin data lists Uniswap at $6.67, reflecting an 8.39% decline in the past 24 hours. The token’s market capitalisation stands at $4.19 billion, supported by a circulating supply of 629.89 million tokens. Trading volume remains elevated at $621 million, a sign that despite the downtrend, market participation remains active—though liquidity is skewed more toward selling than accumulation.

Source: BraveNewCoin

Price action across the higher-timeframe view has trended downward, with the coin trading within a range spanning $6.60 down to $6.00, indicating the market is searching for a new support floor. The persistent weakness aligns with broader risk-off sentiment in DeFi assets amid macro uncertainty. While the token retains its position among top DeFi projects by market cap, short-term weakness continues to overshadow long-term fundamentals.

TradingView Technicals Highlight Deepening Bearish Momentum

TradingView’s UNI/USDT chart shows the token trading around $6.273, down 4.52% on the day. Price action sits below the Bollinger Band basis at $6.731, a clear technical sign that the short-term trend has turned bearish. The sharp rejection near the upper band at $8.937 and the steady move toward the lower band at $4.525 demonstrate increasing volatility dominated by sellers.

Source: TradingView

Key structure levels show that major resistance lies far above, around $12.3, while immediate support rests near historical lows in the $2.00 region.

The inability to reclaim the baseline—acting as a midpoint trend signal—confirms continued downward risk. Unless the coin breaks back above $6.73, a stronger downside toward lower bands or structural lows remains a realistic scenario.

The MACD further strengthens the bearish case. The histogram has flipped negative at –0.055, while the signal line at 0.166 sits above the MACD line at 0.112, forming a structure that typically precedes deeper declines. Without divergence or a bullish crossover, momentum remains firmly tilted toward sellers.