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Price Analysis

Uniswap Prices Expand with Rising Volumes, UNI/USDT Bulls aim at $30

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2 years ago

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Whats next for Uniswap

The see-sawing of crypto and Uniswap prices have good and bad tidings for market participants.

For UNI traders, the dump of p-rices over the last few weeks has seen the token ironically rise up the market rankings.

Reading from the crypto leader-board, the token is now perched at 10th, more valuable than Solana, Bitcoin Cash, and even Litecoin.

Uniswap Market Performance

The improvement in market cap comes at the expense of HODLers since prices have more than halved after peaking at around $45.

At spot rates, UNI is down over 55 percent from 2021 peaks. Still, depending on how the market performs in subsequent sessions, it could either spell doom or relief for UNI traders.

UNI Price Daily Chart for June 24

After days of relentless pummeling and value erosion, UNI bears appear exhausted.

Fleeting gains of Tuesday and Wednesday, nonetheless, doesn’t mean the bear run is over, neither does it point for a sharp, near perpendicular revival of UNI/USDT prices.

If anything, the recovery is labored.

UNI bulls, amid the overconfidence from traders, still depend on an array of factors. The Uptrend will be affected by DeFi activity, Ethereum fundamentals, the state of Bitcoin, and most importantly, the decision by the development team.

After all, DeFi protocols are open source, and competition expectedly stiff.

That’s also not forgetting that Uniswap might be taping on Ethereum’s juices for success.

However, unlike any other period in time, competing swapping protocols are Ethereum compatible, extracting the same value Uniswap accesses.

The difference is, they offer clients comparatively cheaper rates due to their highly scalable environment.

UNI Prices are Bottoming Up, Buy dips?

Considering the relentless bears and skepticism around the crypto market, most traders are on the sidelines.

Nonetheless, for one, at spot rates, UNI prices offer a good buying opportunity. The trader on Twitter specifically highlights the zone between $13 and $14 as ideal.

There might not be clear buy targets, per the trader’s analysis, but another one thinks UNI/USDT is open for $30 in the short term.

The rally, in his view, however, depends on the rapidity of the close above the 20-day EMA.

UNI Trading Volumes Soaring

The market confidence in Uniswap was further cemented following events on June 22.

As UNI/USDT prices bottomed up, there was a sharp spike in participation, suggesting the entry of buyers.

For perspective, UNI trading volumes rose 39X the average, as visible in the 5 min chart.

And this was the second time in two days. The previous spike saw a 105X increment in UNI average trading volumes in the same time frame.

Trading volumes are a helpful metric; a technical indicator often deployed to gauge the trend’s strength and perhaps even out pick the forces behind the purchase—or the sell-off. Besides, trading volumes directly influence momentum.

UNI/USDT Prints a Bullish Divergence

On YouTube, Trading Academy is confident of more UNI gains in the days ahead.

For this reason, the analysts say traders should find entry positions and load.

Already, there is a bullish divergence visible in the daily chart. With falling UNI/USDT prices, trading volumes are edging higher, fortifying determined Uniswap traders.

Technical charts courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.

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Passionate about Blockchain, Crypto, Blockchain, and Bitcoin. Excited of what lies ahead. Advocating adoption. HODLer!

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