Uniswap (CRYPTO:UNI), the governance token of the Ethereum-based (CRYPTO:ETH) decentralised exchange, has seen its price steadily decline since June 18, forming a descending triangle pattern.

Currently trading at $8.84, UNI is approaching a critical support level at $8.73 established since May 23.

Technical indicators such as the Parabolic SAR and Chaikin Money Flow indicate a strong bearish sentiment, suggesting that unless demand picks up significantly, UNI's price may further decline below support.

The Relative Strength Index (RSI) at 42.91 also signals prevailing selling pressure, underscoring the need for bullish momentum to prevent a deeper downturn.

If support fails to hold, UNI could drop to $8.69; however, a resurgence in demand could propel its price towards $9.48, invalidating the bearish outlook.