Originally published on: July 30, 2022
Uniswap’s UNI token has been on a tear in July, posting an impressive 80% gain, bringing its price to nearly $9. This marks the highest return since January 2021, when it saw a 250% rally. Despite these gains, there are signs of a potential pullback on the horizon.
The surge in UNI’s price can be attributed to the overall positive momentum in the crypto market, with excitement around the Ethereum blockchain’s upcoming transition to proof-of-stake (PoS) in September fueling buying frenzy. Additionally, discussions around a “fee switch” proposal that would allow UNI holders to earn a commission from trading fees have also contributed to the token’s gains.
From a technical standpoint, UNI is now facing resistance at $20 and is expected to pull back towards $8. If the price falls below the trendline, it could drop as low as $4.50 by September. However, a bounce back could propel UNI towards $10 and beyond.
While the future is uncertain, UNI’s performance has certainly caught the attention of investors and traders alike. Stay tuned for more updates on UNI’s journey in the crypto market.
