Whale sell-off of 2.49 million UNI causes the price to break below the $4 support level

Following the market plunge and weakening price structure, Uniswap (UNI) has fallen to its lowest level in two years. The strong sell-off caused the price to break through the $4 mark.

At the time of reporting, UNI is trading around $3.9, down nearly 10% for the day, reflecting increased volatility.

“Dormant” Whales Sell 2.49 Million UNI

After a sharp decline, a long-term holder sold their entire position. According to Arkham data, an inactive whale wallet that has not moved in 5 years suddenly reappeared and sold 2.49 million UNI, earning approximately $10.62 million.

Source: Arkham This token amount was accumulated during the early days of Uniswap and held for 5 years. The transaction yielded a profit of about $1.72 million, representing a 19% increase over 5 years.

In a weakening market, whale sales often reflect cautious sentiment and concerns about continued downside risk.

Widespread Selling Pressure

Not only whale transactions, but UNI also experienced significant sell-offs from various market participants on January 30.

According to CryptoQuant, the inflow of UNI to exchanges surged to 4.2 million UNI — the highest in two months — then sharply declined afterward. At the same time, exchange outflows recorded about 1.7 million UNI.

Source: CryptoQuant When inflows to exchanges increase, the exchange supply ratio also rises to a two-month high of 0.09. This pattern often indicates increased distribution activity and ongoing selling risk.

Source: CryptoQuant Historically, such market conditions have led to reduced scarcity, further accelerating downward pressure, often serving as a warning sign of price declines.

Is the Downtrend Likely to Continue?

Strong selling pressure has pushed momentum indicators into negative territory. RSI has fallen deep into the oversold zone, around 27, indicating sellers are in control. Meanwhile, RVGI has dropped to approximately −0.12 after forming a bearish crossover, reinforcing the weakening signal.

UNI Price Chart | Source: Coinphoton If selling persists, UNI may continue to face pressure and retreat toward the $3.8 region. Conversely, if buying interest absorbs supply well, the price could stabilize and, in a clear reversal scenario, move toward the $4.8 zone.