After holding strong through the recent bearish mood that has afflicted the wider crypto sector, DeFi leader Uniswap (UNI) has registered sharp losses over the past 24 hours, weakening by nearly 7% since the previous session. At the time of writing, UNI/USD is trading around $19.

The leading DeFi protocol is exhibiting signs of weakness after crypto king Bitcoin slid below the key $34,000 level. As the cryptocurrency with the largest market cap, BTC’s price trends tend to have a corresponding effect on all other digital assets, and despite the continued popularity of DeFi, the bearish mood is weighing on Uniswap.

As we mentioned above, the DeFi market has continued to witness growth despite the downbeat mood among investors towards cryptocurrencies in general. Recent data by DApp Radar reveals that the total value locked (TVL) in DeFi DApps adjusted for inflation exceeded $33 billion during the previous session. This was the highest level seen since June 1 when DeFi’s TVL had soared to an ATH of $40 billion.

In an interesting development that could drive higher activity on Uniswap, a team of developers is planning to launch a new ERC20 token on the platform called SaveBritney. With an aim to raise crypto funds to support pop star Britney Spear who happens to be under her father’s conservatorship, the Europe-based team is planning to leverage 11% of the trading volume towards supporting the #SaveBritney cause while 3% will be funded personally to Spears. In addition, the team will also reward token holders with 1% of each transaction.

Key Levels to Watch

On the 4-hour price chart of UNI/USD, almost all the moving averages and the MACD indicator are suggesting a selling bias, although the momentum indicator signals some buying interest. Uniswap’s price is holding below the pivot point at $21 and could test the immediate support at $18 in case selling pressure builds up.

However, in case buyers step in to take advantage of the current price, we could see UNI head higher past the pivot point and to test the resistance level at $23. A further strengthening of the bullish reversal could then see buyers break past the key $25 level where they would encounter more resistance.