Uniswap breaks below multi-year support: Will UNI face a larger plunge?

According to CoinWorld, Uniswap's UNI token has fallen below the key support level of $4.10, which has been effective since March 2022, indicating the possibility of further decline. Currently, UNI is trading around $3.85, down 5.10%. Derivatives data shows that traders are building $2.1 million in leveraged short positions, while long positions are only $1.63 million, putting downward pressure on UNI. If UNI fails to reclaim $4.10, analysis suggests it could drop by 45%, targeting the next support level near $2.30. However, $1.26 million worth of UNI has flowed out of exchanges in the past 24 hours, indicating signs of long-term accumulation in the market.