Today, I got a huge scoop! Just now, a piece of data left me stunned: a mysterious giant whale was frantically buying on the day of the big benefit of the 'burn proposal' for UNI, and as a result, they are now facing a floating loss of 580%, with nearly 2 million dollars gone down the drain! Big players are also human and can get cut; what's wrong with this market?
News: The good news is all out, is it bad news now?
On November 11, the official Uniswap team joined forces with the foundation to propose turning on the 'fee switch', using the earnings to burn UNI. As soon as this news broke, the coin price skyrocketed, directly breaking through 10 dollars! At that time, everyone thought a big benefit was coming, so they rushed in!
And the result? Reality is harsh. The UNI price has been on a downward trend, now only around $5.4, almost halved! That big player rushed in near the peak at $8.5, now left hanging at the top, feeling the cold wind. Bai Yue believes that during overall market pessimism, a single positive factor is unlikely to reverse the trend, often becoming a trap for 'smart money' to sell while retail investors take the bait. This is the typical 'buy the expectation, sell the fact.'
Technical focus: $5.4 is the critical lifeline.
Looking at the 1-hour K-line chart again, the situation is clear at a glance:
Heavy pressure: The clear resistance levels above are $5.56 and $5.77; once it rebounds to here, there will be significant selling pressure.
Life and death line: The current $5.4 is a key watershed, previously a support, now also the focus of the bulls and bears. The order book shows a buy price of 5.394, and a sell price of 5.396, with bulls and bears locked in a fierce battle.
Lower support: If $5.4 cannot hold, the next level is $5.24, and a breakdown could test the bottom support at $5.1.
Bai Yue believes that although the technical indicators below have slightly picked up below the zero axis, indicating some rebound momentum, under the overall bearish trend, this rebound appears very weak and is more likely to be a 'continuation of the decline.'
What should retail investors do?
For those with positions: set a stop loss! If going long, strictly stop loss if it falls below $5.4; don't learn from the whales by stubbornly holding. For heavy positions, consider reducing your holdings when it rebounds to the $5.56-$5.77 resistance zone.
For those with no positions / wanting to bottom out: control your hands! Before a clear return above $5.77, any bottom-fishing feels like catching flying knives. If you really want to position, either wait for a strong reversal signal after a thorough drop, or wait for a genuine trend reversal (breakthrough and stabilize key resistance levels). Cash in hand, opportunities are always there.
Bai Yue's personal opinion
Currently, the overall market trend and UNI's own trend are bearish; a single positive cannot support the entire sky. The tragedy of the whales is a living risk education lesson; increasing positions against the trend is like taking chestnuts from the fire. Key level operation: $5.4 is the last cover for the bulls. If the hourly line can stabilize and break through $5.56, the short-term downward momentum may ease. But if it breaks down through $5.4, especially below $5.24, it is highly likely to continue exploring the bottom.
The market always has opportunities; the key is to operate calmly. Bai Yue will continue to keep an eye on on-chain dynamics, moving steadily forward together! Follow Bai Yue and participate in every attack of the Bai Yue villagers! Bai Yue will announce the specific entry times and real-time news every day in the village!
