Examining whether Uniswap [UNI] can gain 200% in 2024

• Uniswap has the potential to climb past $20 in 2024.
• The recent retracement was deeper than ideal, but that shouldn’t worry long-term holders.

Uniswap [UNI] has filled a higher timeframe fair value gap on the charts. Its deep retracement meant investors might be fearful of further losses.

A deeper look at relevant metrics showed that investors should be enthused instead.

The Bitcoin [BTC] bull run post-halving has not yet started, and there was some debate on when it will arrive. A quiet summer could give buyers more time to accumulate UNI.

The range breakout and retracement

Source: UNI/USDT on TradingView

From May 2022 to mid-February 2024, UNI has traded within a range. This range extended from $3.7 to $7.8 and lasted just over 21 months.

In March, the rally reached $17.06, a level UNI last traded at in January 2022.

The fair value gap on the 3-day timeframe (white box) was filled, and UNI dipped even lower to reach $5.9. While this wasn’t ideal, it does not mean a significant rally is now impossible.

The nearly two-year range breakout and retracement to the former range highs presented a fantastic buying opportunity.

The Fibonacci levels showed that the 61.8% extension level at $24 was a target in the coming months. This would represent gains of 200%.

The potential altcoin season meant even higher gains could come toward the end of the current cycle.

Other factors that buoy investor confidence

Source: Santiment

A prominent one was the rising development activity. It reached a new high for the past six months.

The active addresses count has stalled, but together they showed that long-term UNI holders have reason to be optimistic.

The mean dollar invested age has crept higher since March, while prices fell lower. This was a sign of accumulation.

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The Open Interest was the lowest it has been since late January. Once again, it showed that the market has purged speculators looking for a quick short-term rally.

This could be healthy in the long-term, as the current bounce appeared to be driven by spot demand.

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.