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Uniswap Founder Shares His Two Cents On Good Token Distributions

Hayden Adams, founder of the Uniswap protocol, has shared his opinion on what characterizes a good distribution or rollout of a token. In a recent post on the X platform, the prominent crypto figure listed 10 qualities of good token distributions, highlighting the complexities surrounding the launch of a cryptocurrency.

Uniswap Founder Gives Opinion On Good Token Distributions

Adams began his take on good token distributions by stating that projects should allocate “tokens, not points” to the community. This phrase implies that participants should receive actual tokens that hold value within a particular ecosystem or on a network, instead of receiving points that may have limited utility.

Secondly, Adams warned against creating ambiguity or being vague about a token distribution to increase the number of participants or to “farm the farmers.” A good token distribution practice includes sharing real details when ready, according to the Uniswap founder.

Additionally, Adams criticized “low float tokens,” while calling them malicious. The prominent DeFi figure urged project teams to ensure sufficient tokens are available in circulation to prevent manipulation and allow genuine price discovery.

Adams also discouraged hyping a token’s price and how it will skyrocket before it launches. The founder believes hiring an influencer or a marketing company to promote a token’s value only depicts a get-rich-quick scheme rather than a genuine attempt at building real value.

What’s more, the Uniswap founder stressed the importance of free token airdrops during token distributions. “Don’t be stingy – give a significant amount away. If you don’t think the community deserves a significant amount, don’t release a token,” Adams said in his post.

Ultimately, Adams advised new crypto projects to be careful and thoughtful in their decision-making to avoid making mistakes that might put them at odds with the crypto community. “Create something you’re proud of and stand behind it,” the Uniswap founder added.

A Jab At Friend.tech and its FRIEND?

At the beginning of his post, the Uniswap founder clearly stated that the opinion is not aimed at any specific project. However, the timing is interesting, especially after social media platform Friend.tech’s “unsuccessful” token airdrop.

On Friday, May 3rd, Friend.tech airdropped its new FRIEND tokens to users in conjunction with the launch of the protocol’s version 2. While the token’s value quickly rose to $167 after launch, FRIEND’s price nosedived to below $2 within a few hours.

Analysts pinpointed liquidity issues and a mass sell-off as the primary reasons behind the downturn of FRIEND and, ultimately, the ineffectual token launch. Moreover, many users complained about how challenging it was to claim the token airdrop, as technical drawbacks reportedly frustrated the process.

Uniswap

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Uniswap Resurgence Incoming? Analyst Predicts 30% Surge For UNI Price

Uniswap’s native token, UNI, has been struggling in terms of its price action over the past few weeks. Although the general state of the crypto market may be blamed for this gloomy price performance, other factors, such as the Wells Notice from the US Securities and Exchange Commission (SEC) to the Uniswap protocol, have also played a role.

However, the UNI price appears to be recovering well, as the token has jumped by more than 2% in the past day. A popular crypto pundit on X has predicted that a bullish rally might only just be beginning for the DeFi coin, but the question is – how far can Uniswap’s price go?

Analyst Sets $10 Target For Uniswap Price

In a recent post on the X platform, prominent crypto analyst Ali Martinez put forward an exciting bullish prediction for the price of UNI. According to the expert, the cryptocurrency might be getting ready for a run to the upside in the coming days.

The rationale behind this bullish prognosis for the Uniswap token is based on the TD (Tom DeMark) Sequential Indicator. The Tom Demark Sequential is an indicator in technical analysis used to identify the probable time and points of trend exhaustion and price reversal.

Uniswap

The TD Sequential indicator consists of two stages, namely the “setup” and the “countdown” phases. As shown in the chart above, UNI’s price just completed the setup phase, which comprises nine consecutive candles that closed lower than the candle four periods ago.

The completion of this phase usually signals a potential trend reversal for the token’s price. The direction of the reversal depends on the type of candles that formed the “setup” (I.e., red candles would suggest a bottom for the asset, while green candles would imply a top).

Martinez noted in his post that the TD Sequential has flashed a buy alarm on the UNI daily chart, and the token might be “gearing up for a 1 – 4-day rally. According to the analyst, the DeFi coin could jump as high as $10, representing an over 31% surge from the current price point.

UNI Price Overview

As of this writing, the price of UNI stands at around $7.46, reflecting a 2% jump in the past 24 hours. However, this latest price increase is not enough to bring the coin to profit on the weekly timeframe.

According to CoinGecko’s data, Uniswap’s price is down by more than 4% in the past seven days. The cryptocurrency would look to regain the $10 level, having lost it due to the news of the SEC’s looming action. 

Uniswap

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UNI Price Prediction – Uniswap Recovery Could Remain Capped

UNI price turned red and declined below the $10.00 support. Uniswap is showing many bearish signs and recoveries could face hurdles near $10.00.

  • UNI started a fresh decline below the $10.00 support zone.
  • The price is trading below $9.50 and the 100 simple moving average (4 hours).
  • There is a key bearish trend line forming with resistance near $10.25 on the 4-hour chart of the UNI/USD pair (data source from Kraken).
  • The pair might recover but the upsides might be limited above $10.00.

UNI Price Takes Hit

After the SEC news, UNI started a major decline. There was an increase in selling pressure on Uniswap below the $12.00 pivot level. The price declined over 15% and traded below the $10.00 support. It also increased some pressure on Bitcoin and Ethereum.

There was also a drop below the $9.20 level. The price traded as low as $8.72 and it is still showing many bearish signs. There is also a key bearish trend line forming with resistance near $10.25 on the 4-hour chart of the UNI/USD pair.

UNI price is now trading well below $10.00 and the 100 simple moving average (4 hours). Immediate resistance on the upside is near the $9.45 level. It is near the 23.6% Fib retracement level of the downward move from the $11.79 swing high to the $8.72 low.

The next key resistance is near the $10.25 level or the trend line. It coincides with the 50% Fib retracement level of the downward move from the $11.79 swing high to the $8.72 low.

UNI Price Prediction

Source: UNIUSD on TradingView.com

A close above the $10.25 level could open the doors for more gains in the near term. The next key resistance could be near $11.80, above which the bulls are likely to aim a test of the $12.00 level. Any more gains might send UNI toward $13.50.

More Losses In Uniswap?

If UNI price fails to climb above $9.45 or $9.50, it could continue to move down. The first major support is near the $8.70 level.

The next major support is near the $8.50 level. A downside break below the $8.50 support might open the doors for a push toward $7.65.

Technical Indicators

4-Hours MACD – The MACD for UNI/USD is gaining momentum in the bearish zone.

4-Hours RSI (Relative Strength Index) – The RSI for UNI/USD is below the 25 level.

Major Support Levels – $8.70, $8.50, and $7.65.

Major Resistance Levels – $9.45, $10.00, and $10.25.

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Uniswap Bloodbath: UNI Price Crashes 16% On SEC Lawsuit Fears

The US Securities and Exchange Commission (SEC) has served a Wells Notice to Uniswap, a leading decentralized exchange (DEX). This pre-enforcement notice, a precursor to potential legal action, triggered a plunge in Uniswap’s native token, UNI.

At the time of writing, UNI was trading at $9.37, down 16.2% in the last 24 hours, data from Coingecko shows. The crypto has also sustained a 15% loss in the last seven days.

Uniswap Whales Seek Safer Shores

The news of the SEC’s looming action acted as a fire alarm for Uniswap’s biggest investors. On-chain data analysts at Lookonchain reported significant market movements, with three large whales shedding a staggering 2.03 million UNI tokens – a cool $20 million vanishing from the Uniswap ecosystem within hours.

The wallets offloaded a combined 1.25 million UNI, potentially profiting by $3.5 million if they sold at current market prices. These tokens, interestingly, originated from a Binance transfer in March 2023, hinting at a potential strategy of holding on the exchange until the regulatory clouds cleared.

Another whale liquidated over 472,000 UNI for a quick $4.6 million USDC payout, netting a cool $1.67 million in profit. The fire sale wasn’t limited to these three giants – six other whale-sized wallets collectively moved 316,400 UNI tokens to Binance, valued at roughly $3.15 million. This mass exodus of heavyweight investors exacerbated the downward spiral of UNI’s price, leaving retail investors scrambling to assess the situation.

Uniswap Founder Vows To Fight, DeFi Future Uncertain

Uniswap founder Hayden Adams reacted swiftly and fiercely to the SEC’s move. In a fiery statement posted on the X platform, Adams condemned the SEC’s approach, accusing them of prioritizing opaque, legacy financial systems over the interests of consumers.

He emphasized the need to defend Uniswap and the broader DeFi industry, underscoring the potential of decentralized finance to revolutionize financial inclusion.

The Wells Notice marks the beginning of what could be a long and arduous legal battle. Adams acknowledged the possibility of a years-long fight, highlighting the immense stakes involved.

The outcome of this clash, he argued, could significantly impact the future trajectory of DeFi and the entire cryptocurrency landscape.

Related Reading: From Hat To Heights: Dogwifhat’s $17 Crypto Leap Electrifies Investors

Crypto Market Braces For Regulatory Storm

Investors are now grappling with the specter of increased regulatory scrutiny for DEXs, a sector that has thrived on its permissionless nature. The uncertainty surrounding Uniswap’s legal status has cast a shadow over investor confidence, raising concerns about the potential devaluation of their holdings.

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Uniswap Founder: Dapps Will Soon Handle Gas Fees On Behalf Of Clients

In comments likely to resonate with crypto fans, Hayden Adams, the founder of Uniswap, a leading decentralized exchange (DEX), predicts that network fees will eventually become a background expense for users, much like server costs are today for top centralized applications running on Amazon Web Service and other platforms.  

Gas Fees Is A Major Pain Point, Mass Migration To Solana, Layer-2 Platforms

Taking to X, Adams envisioned a future where decentralized applications (dapps) seamlessly cover network fees on behalf of users. This approach, the inventor adds, aligns with how server costs are currently handled in the current setup, especially among operators of common applications like X or Facebook.

Server costs are often considered a hidden expense in the overall business model. However, this can cost millions of dollars monthly, depending on the app’s popularity.

Presently, the dream of low-fee transactions remains out of reach for some blockchains, particularly Ethereum, the dominant platform for smart contracts. Ethereum is a legacy blockchain that recently shifted from a proof-of-work to proof-of-stake consensus.

However, while this was a major shift, the network still struggles with scaling challenges. At optimum, Ethereum can only process 15 transactions every second. Comparing this with current demand only means “gas fees” must be high to incentivize the validator to include transactions in the next block.

Ethereum price trending upward on the daily chart | Source: ETHUSDT on Binance, TradingView

This high “gas fee” continues to be a major pain point, leading some projects to migrate to alternative networks with faster transaction speeds and lower fees. Solana, a high-throughput blockchain, and layer-2 scaling solutions like Arbitrum have emerged as popular destinations for these migrating projects. This trend is particularly evident with the recent surge of meme coins like BONK and WIF, which have seen significant growth on Solana.

Unlike Ethereum, Solana and layer-2 platforms relying on Ethereum for security boast higher throughput and negligible gas fees. Accordingly, more meme coin projects are launching on these networks. Here, users can transact without considering the implication of gas fees. In recent weeks, top meme coins, besides PepeCoin (PEPE) or Dogecoin (DOGE), have been launching on Solana.

Ethereum Is Working On Scaling

Ethereum will implement the Dencun Upgrade in mid-March to combat its scaling woes. The update aims to reduce costs for users interacting with layer-2 solutions significantly. However, this upgrade is just one of the many Ethereum developers plan to implement over time.

Eventually, the proof-of-stake network aims to scale processing speeds, allowing it to execute millions of transactions every second through innovations like Sharding. 

Uniswap total value locked | Source: DefiLlama

Uniswap continues to lead in popularity, looking at assets under management. So far, Uniswap developers have deployed its solution across other blockchains and layer-2 options, including Arbitrum and the BNB Chain.

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Uniswap 71% Single-Day Rally Raises Eyebrows – Can DeFi Maintain Momentum?

The cryptocurrency market witnessed a significant shift in momentum on February 23rd, as Uniswap native token, UNI, skyrocketed by an impressive 71%. This surge marks the token’s highest price point since March 2022, sending shockwaves through the crypto landscape and reigniting interest in the decentralized finance (DeFi) sector.

Uniswap Proposes Fee-Sharing Feast For Stakers

The primary catalyst behind this astronomical rise appears to be a pivotal proposal unveiled by the Uniswap Foundation. This proposition advocates for the implementation of a novel fee-sharing mechanism, fundamentally altering the token’s utility and incentivizing long-term participation within the Uniswap ecosystem.

Under the proposed system, UNI holders who stake their tokens will be rewarded with a portion of the fees generated by the Uniswap protocol. This not only grants them a direct financial incentive but also empowers them to choose delegates who vote on governance proposals, shaping the future direction of Uniswap.

This revolutionary approach resonates with a broader trend of resurgent interest in DeFi. According to on-chain data provider Santiment, assets associated with decentralized lending, borrowing, and cryptocurrency exchange, like $COMP, $SUSHI, and $AAVE, have all experienced notable value increases, mirroring UNI’s upward trajectory.

Trade Volumes On A Roll

Further bolstering this trend, trading volumes across these protocols have also seen explosive growth. For instance, the COMP price jumped alongside a staggering 400% increase in trading volume, reaching over $175 million.

Similarly, SushiSwap (SUSHI) witnessed a 27% price surge coupled with a 153% increase in trading volume. This shift in investor focus is further underscored by a corresponding decline in the value of AI-related coins, indicating a potential capital rotation within the market.

Uniswap v4 Upgrade On The Horizon: Efficiency And Customization Beckon

Adding fuel to the fire is the impending arrival of the highly anticipated Uniswap v4 upgrade, slated for release in Q3 2024. This transformative update promises to enhance the protocol’s efficiency and customizability, catering to the evolving needs of the DeFi space.

While the direct impact of v4 on the current price surge remains debatable, its potential to revolutionize the Uniswap experience undoubtedly contributes to the overall bullish sentiment surrounding UNI.

Beyond Uniswap: DeFi Dominance On The Rise?

The Uniswap fee-sharing proposal and upcoming v4 upgrade have not only revitalized the UNI token but also cast a spotlight on the broader DeFi landscape. Analysts predict that other DeFi protocols like Blur and Lido Finance could witness similar surges in the wake of Uniswap’s bold move.

This potential domino effect underscores the growing importance of DeFi within the cryptocurrency ecosystem, attracting investors seeking innovative financial solutions beyond traditional centralized systems.

Featured image from Adobe Stock, chart from TradingView

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UNI Price Prediction – Uniswap Bulls Sight Key Bullish Move To $7

UNI price is moving higher from the $6.00 support. Uniswap is up 5% and it could rally if there is a clear move above the $6.35 resistance zone.

  • UNI started a fresh increase from the $5.50 support zone.
  • The price is trading above $6.00 and the 100 simple moving average (4 hours).
  • There is a key bearish trend line forming with resistance near $6.20 on the 4-hour chart of the UNI/USD pair (data source from Kraken).
  • The pair is showing bullish signs and might rally if it clears the $6.35 resistance.

UNI Price Aims Higher

After forming a support base above $5.65, UNI started a fresh increase. There was a decent upward move in Uniswap above the $6.00 and $6.20 resistance levels.

However, the bears were active near the $6.35 zone. A high was formed at $6.33 before there was a downside correction. The price declined below the $6.20 level. There was a move below the 23.6% Fib retracement level of the upward move from the $5.53 swing low to the $6.33 high.

It tested the $6.00 support and the 50% Fib retracement level of the upward move from the $5.53 swing low to the $6.33 high. Uniswap is rising again above the $6.10 level, outperforming Bitcoin and Ethereum.

UNI price is trading above $6.00 and the 100 simple moving average (4 hours). Immediate resistance on the upside is near the $6.20 level. There is also a key bearish trend line forming with resistance near $6.20 on the 4-hour chart of the UNI/USD pair.

UNI Price Prediction

Source: UNIUSD on TradingView.com

The next key resistance is near the $6.35 level. A close above the $6.35 level could open the doors for more gains in the near term. The next key resistance could be near $7.00, above which the bulls are likely to aim a test of the $7.20 level. Any more gains might send UNI toward $7.50.

Dips Supported in Uniswap?

If UNI price fails to climb above $6.20 or $6.35, it could start another downside correction. The first major support is near the $6.00 level.

The next major support is near the $5.85 level. A downside break below the $5.85 support might open the doors for a push toward $5.50.

Technical Indicators

4-Hours MACD – The MACD for UNI/USD is gaining momentum in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for UNI/USD is above the 50 level.

Major Support Levels – $6.00, $5.85 and $5.50.

Major Resistance Levels – $6.20, $6.35 and $7.00.

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Uniswap Unveils New Security Feature: Will It Boost UNI Demand?

Uniswap Labs, the developer of Uniswap–a decentralized exchange, has introduced a new security feature called Permit2. Taking to X on January 18, the DEX developer said this update addresses the “infinite token allowances” vulnerability that hackers can exploit. This flaw risked user funds, and the new feature is meant to resolve this concern.

Uniswap Sealing Infinite Token Allowance Risks

In crypto, especially among decentralized finance (DeFi) protocols, the “token allowance” is permission initiated by the user granting smart contracts access to tokens. From there, assets can be moved.

With this permission, it becomes possible for users to interact with dapps, chiefly protocols that utilize user funds. Some of these dapps include, for instance, decentralized exchanges like Uniswap or lending platforms like Aave or Maker. 

While useful, “token allowance” can be exploited by hackers via “infinite token allowance,” where hackers can infinitely access and illegally withdraw funds from wallets, draining them as a result. Once a wallet has been compromised, it can be drained without the user’s knowledge since the compromised code already permits the hacker to move funds.

Aware of this risk, Uniswap Labs is introducing the open-source Permit2 as a solution. The tool, the DEX developer says, will give users more protection and, more importantly, control over digital assets.

A key feature of Permit2 is that users can set time limits on token approvals. Third parties can only access funds within a specific period in this arrangement. 

Additionally, the tool introduces a reusable token approval for simplicity. With this feature, end users don’t have to repeatedly grant access to their funds for each transaction. On the gas-saving fronts, Uniswap Labs say Permit2 also utilizes signature-based approvals and transfers. This means the tool can reduce gas fees when users transfer tokens.

Uniswap Building, UNI Remains Under Pressure

This enhancement precedes the upcoming release of Uniswap v4, which introduces Hooks. This new feature provides developers with more flexibility and control over their applications.

Analysts say the launch of Uniswap v4 and Uniswap Labs’ continuous enhancement to improve security might cement the DEX’s position.

Uniswap TVL | Source: DeFiLlama

According to DeFiLlama data, Uniswap has managed over $4.4 billion worth of assets. Even so, UNI prices continue to struggle. 

UNI price trending upward on the daily chart | Source: UNIUSDT on Binance, TradingView

Looking at the daily chart, UNI has resistance at around $8.1 and is currently down roughly 20% from December highs. Sharp losses below $6 might trigger a sell-off, forcing the token towards $4.5 or lower. 

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UNI Price Prediction – Uniswap Momentum Reignites, 15% Lift-off Possible

UNI price is moving higher from the $5.65 support. Uniswap is up 5% and it seems like the bulls could aim a fresh surge toward the $8.00 zone.

  • UNI started a fresh increase above the $6.00 and $6.20 resistance levels.
  • The price is trading above $6.50 and the 100 simple moving average (4 hours).
  • There was a break above a key bearish trend line with resistance near $6.60 on the 4-hour chart of the UNI/USD pair (data source from Kraken).
  • The pair is showing bullish signs and might rally if it clears the $7.25 resistance.

UNI Price Aims Higher

After forming a support base above $5.65, UNI started a fresh increase. The bulls were able to push Uniswap’s price above the $6.00 and $6.20 resistance levels, outperforming Bitcoin and Ethereum.

There was a break above a key bearish trend line with resistance near $6.60 on the 4-hour chart of the UNI/USD pair. The pair even cleared the $6.75 resistance level. It is now approaching the 50% Fib retracement level of the downward move from the $8.24 swing high to the $5.67 low.

UNI is now trading above $6.50 and the 100 simple moving average (4 hours). Immediate resistance on the upside is near the $6.95 level. The next key resistance is near the $7.250 level. It is close to the 61.8% Fib retracement level of the downward move from the $8.24 swing high to the $5.67 low.

UNI Price Prediction

Source: UNIUSD on TradingView.com

A close above the $7.25 level could open the doors for more gains in the near term. The next key resistance could be near $7.65, above which the bulls are likely to aim a test of the $8.00 level. Any more gains might send UNI toward $8.25.

Dips Supported in Uniswap?

If UNI price fails to climb above $6.95 or $7.25, it could correct further lower. The first major support is near the $6.60 level or the 100 simple moving average (4 hours).

The next major support is near the $6.25 level. A downside break below the $6.25 support might open the doors for a push toward $6.00.

Technical Indicators

4-Hours MACD – The MACD for UNI/USD is gaining momentum in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for UNI/USD is well above the 50 level.

Major Support Levels – $6.60, $6.25 and $6.00.

Major Resistance Levels – $6.95, $7.25 and $8.00.

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Is Trader Joe (JOE) A Hidden Gem Poised to Outperform Uniswap (UNI)?

In decentralized finance (DeFi) and trading, Uniswap has long reigned as a dominant force. However, a recent analysis by Lark Davis, a Bitcoin (BTC) investor, seems to suggest Trader Joe, a decentralized exchange (DEX) on Avalanche–a highly scalable blockchain and Ethereum’s competitor, could eventually emerge as a formidable competitor, even overtaking Uniswap.

Is Trader Joe Undervalued Relative To Uniswap?

In a post on X on December 12, Davis noted a discrepancy in the relative valuation between JOE and UNI, which serve as governance tokens of Uniswap and Trader Joe. Specifically, the investors noted that Trader Joe’s handles around $300 million daily trading volume on Avalanche alone.

On the other hand, Uniswap processes approximately $1.6 billion in daily volume across the Ethereum mainnet and Arbitrum, the largest layer-2 platform by total value locked (TVL) by Ethereum.

Davis further noted that despite this “small” difference in trading volume, Trader Joe’s has a market capitalization of only $238 million. Meanwhile, Uniswap has a market cap of $3.6 billion, according to CoinMarketCap data. 

Even with relatively narrow average trading volume, the huge difference in market capitalization suggests that JOE is significantly undervalued relative to UNI. Accordingly, this gap will likely be narrowed in the future, with JOE appreciating versus UNI, possibly benefiting holders.

JOE Yields Versus UNI’s Governance: Which Token Has An Edge?

Davis also pointed out JOE’s potential, saying the token rewards holders with USDC yields. This is different from UNI, where holders can vote on proposals and nothing else. In the investor’s preview, besides the undervaluation, this feature could further enhance JOE’s appeal, even contributing to its upside potential. 

As the crypto market recovers, Avalanche might also present additional advantages to traders and, therefore, Trader Joe. The modern blockchain is scalable and has relatively low fees regardless of network activity. With crypto prices expanding, Ethereum gas fees have been rising in tandem, discouraging mainnet transfers. This has rerouted activity to layer-2s like Arbitrum and competing platforms, including Avalanche. 

Trader Joe price trending upward on the daily chart | Source: JOEUSDT on Binance, TradingView

When writing on December 12, DeFiLlama data shows that Trader Joe has a TVL of $149 million, of which most assets are tied to Avalanche. Only $1 million is on Ethereum. JOE has been on an uptrend, rising 170% from October 2023 lows. The token is cooling off, looking at price action on the daily chart.

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Whale Rapidly Stacking Uniswap, UNI To $10?

An active crypto whale has been steadily accumulating UNI, the native token to Uniswap, one of the world’s most active decentralized exchanges (DEXes). This development suggests that the address believes the token may edge higher in the coming trading days or weeks, extending gains after a sharp leg up on November 22 when UNI soared, breaking above key resistance levels. 

Whale Loading Up More UNI, Back To $10?

According to recent Lookonchain data, an Ethereum address, stevu.eth, withdrew 311,302 UNI worth $1.93 million from Binance, the world’s largest crypto exchange, on November 25, pushing its total UNI holdings to 511,301 UNI, or $3.18 million.

Notably, this acquisition follows a withdrawal of 500,545 UNI ($2.42 million) from OKX on June 29, which stevu.eth deposited to Binance and OKX in August. However, the recent accumulative behavior on November 25 indicates that the whale is bullish on UNI, possibly expecting prices to float back to $10, a level last seen in August 2022.

Uniswap price trending upward on the daily chart | Source: UNIUSDT on Binance, TradingView

Presently, UNI is trading within a bullish breakout formation, looking at the performance in the daily chart. Changing hands at around $6.2 when writing on November 27, the token is up approximately 60% from October lows. Even with the confidence, UNI prices have been mostly consolidating, moving horizontally at spot rates.

If buyers press on, a close above $6.6 with expanding volumes might confirm buyers of November 22. In that case, the resulting momentum might form the base for another leg up, pushing the token to August 22 highs of around $10.

Uniswap v4 Expectations

The whale’s confidence in UNI aligns with the ongoing development of Uniswap v4, an upgrade that will significantly enhance the DEX. In this update scheduled for a tentative period in 2024, Uniswap Labs, the team behind Uniswap, is introducing a concept called “hooks.” 

Hooks are contracts that can be executed at various stages of a pool’s lifecycle. According to the team, Hooks, which act as more plugins, provide increased flexibility and customization for Uniswap’s liquidity pools.

As such, it would be possible for users to enable features like dynamic fees, refined market making, and even advanced orders executed on-chain.

What’s notable about Uniswap v4 is the introduction of “singleton” contract architecture. All Uniswap liquidity pools will reside inside a single, smart contract in this design change. The team notes that this can significantly reduce gas costs and, more importantly, reduce routing efficiency across numerous pools.

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UNI Price Prediction – After 25% Rally Uniswap Turned Attractive On Dips

UNI price rallied over 25% and climbed above $6.20. Uniswap is now consolidating gains and any dips might be attractive to the bulls in the near term.

  • UNI started a fresh increase above the $5.20 and $6.00 resistance levels.
  • The price is trading above $5.80 and the 100 simple moving average (4 hours).
  • There was a break above a key declining channel with resistance near $5.25 on the 4-hour chart of the UNI/USD pair (data source from Kraken).
  • The pair might correct lower, but the bulls could be active near the $5.60 and $5.55 levels.

UNI Price Regains Strength

After forming a support base above $4.80, UNI started a fresh surge. The bulls were able to push Uniswap’s price above the $5.25 and $5.30 resistance levels, outperforming Bitcoin and Ethereum.

There was a break above a key declining channel with resistance near $5.25 on the 4-hour chart of the UNI/USD pair. The pair pumped over 25% and even climbed above $6.20. A new multi-week high was formed near $6.60 and the price is correcting lower.

There was a move below the $6.25 level. Uniswap is now approaching the 23.6% Fib retracement level of the upward move from the $4.83 low to the $6.60 high.

UNI is still trading above $5.80 and the 100 simple moving average (4 hours). If there is a fresh increase, the price might face resistance near the $6.40 level. The next key resistance is near the $6.60 level. A close above the $6.60 level could open the doors for more gains in the near term.

UNI Price Prediction

Source: UNIUSD on TradingView.com

The next key resistance could be near $6.88, above which the bulls are likely to aim a test of the $7.00 level. Any more gains might send UNI toward $7.20.

Dips Supported in Uniswap?

If UNI price fails to climb above $6.40 or $6.60, it could correct further lower. The first major support is near the $6.05 level. The next major support is near the $5.70 level.

The mains support is near $5.55 or the 61.8% Fib retracement level of the upward move from the $4.83 low to the $6.60 high. A downside break below the $5.55 support might open the doors for a push toward $5.00.

Technical Indicators

4-Hours MACD – The MACD for UNI/USD is losing momentum in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for UNI/USD is well above the 50 level.

Major Support Levels – $6.05, $5.70 and $5.55.

Major Resistance Levels – $6.40, $6.60 and $7.00.

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Uniswap’s Financial Win: New Fee Model Rakes In Over $1 Million In A Month Amid DeFi Frenzy

Uniswap Labs, the company behind the decentralized finance (DeFi) protocol, has achieved a milestone in its revenue generation strategy. Just a month after its implementation, the firm’s newly introduced front-end fees have crossed roughly $1 million, a testament to the platform’s robust activity and user base.

This achievement comes shortly after the mid-October decision to introduce a 0.15% fee on some certain tokens transacted on its front-end interface. This new fee structure applies to various assets, including popular ones like ETH, USDC, WETH, USDT, DAI, WBTC, and others.

Analyzing Uniswap Financial Trajectory

As shown in data from Token Terminal, over the past few weeks following the fee’s launch, Uniswap has amassed about $1.14 million.

Uniswap Front end fees since the past month.

This figure translates to an average daily revenue of approximately $44,000. Projected annually, this rate could bring in roughly or more than $16 million in revenue for Uniswap Labs.

Meanwhile, Blockchain reporter Colin Wu estimated daily fees from Uniswap V3’s new structure could range between $388,000 and $444,000. Although the figures have been more modest, they still represent a substantial income stream.

Wu’s analysis also reveals that about 35% to 40% of Uniswap’s total transaction volume is processed through the front end, indicating a significant portion of the platform’s activity is subject to these new fees.

Regardless, the total cumulative amount recorded in the past weeks, nearly a month, marks a significant financial upturn for the company and highlights the potential profitability of increased fee structures in the DeFi space.

Notably, unlike the long-established 0.3% fee, dispensed among liquidity providers as an incentive, the new front-end fees solely directed towards Uniswap Labs is not just a revenue-generating move, as it also signified a strategic shift towards diversifying income sources.

So far, this step allows Uniswap Labs to have a direct and consistent revenue stream, independent of the protocol fees traditionally distributed among liquidity providers.

DeFi Market Flourishes: Capital Inflows and Token Value Surge

It is worth noting that the recent boost in Uniswap’s cumulative front-end fees aligns with an emerging DeFi resurgence, marked by a significant rise in capital inflows.

Data from DeFiLlama reveals a notable nearly $10 billion increase in the DeFi market’s total value locked (TVL) over the past month. This upward trajectory has seen the TVL escalate from $36.62 billion in October to roughly $46.65 billion.

Moreover, this bullish trend extends to DeFi tokens, with leading DeFi assets experiencing substantial growth. Top tokens such as Chainlink (LINK), Avalanche (AVAX), and Uniswap (UNI) have recorded increases of 19.39%, 35%, and 8.56% respectively in the last week, reflecting the overall positive momentum in the crypto market.

Uniswap (UNI) price chart on TradingView

Featured image from Unsplash, Chart from TradingView

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Crypto Analyst Presents Uniswap’s UNI As The Next Coin Primed For Breakout

Several altcoins are currently on the rise following Bitcoin’s resurgence, and popular crypto analyst Ali Martinez has singled out the Uniswap UNI token as one of those tokens that could rally further as he projects that UNI is set to break out soon from its current resistance level. 

Why Uniswap Is Poised For A Breakout

In a post shared on his X (formerly Twitter) platform, Martinez noted that the majority of UNI holders were positioned ‘Out of the Money,’ which suggests that the token was preparing for a breakout. Accompanying his post was data from the crypto analytics platform Intotheblock based on the ‘Historical In/Out of the Money’ metric.

The data shows that over 75% of the token holders are ‘out of the money’, which means that they were yet to break even in their investments as the average cost price at which they bought these tokens is greater than its current price. 

Uniswap UNIMore addresses are out of the money | Source: IntoTheBlock

Furthermore, the crypto analyst explained that selling pressure has gotten exhausted and that the UNI token has been able to build “an important support” level at around $4. This could serve as a lift-off point for the altcoin.

Key Supply Walls UNI Needs To Break

To further support his breakout theory, Martinez noted two supply walls that UNI “needs” to overcome in order to signal a bullish breakout. According to him, one of these supply walls is at $4.23, where data from Intotheblock shows that 7,000 addresses have bought 14.24 million worth of UNI. 

The other supply wall is at $4.45, where data from Intotheblock shows that 2,000 Uniswap addresses have accumulated 10.28 million worth of UNI. Whales and institutional players may also be aware of this potential breakout and may be looking to position themselves, as Martinez noted. 

The crypto analyst also recently commented on a potential Ethereum breakout. In a different post on his X platform, he said that the second largest cryptocurrency by market cap will need to overcome the huge supply wall at $1,960, where data from Intotheblock showed that 1.14 million addresses bought close to 33 million ETH.

Meanwhile, Martinez believes that now is a good time for people to accumulate Bitcoin based on his examination of the past two cycles from the market bottom and the present Bitcoin trend. According to him, a similar trajectory points to the next Bitcoin market top being around October 2025.

At the time of writing, the UNI token is trading at around $4.10, according to data from CoinMarketCap. 

Uniswap UNI price chart from Tradingview.com (Crypto analyst)

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Uniswap Foundation’s Unexpected $43 Million Token Sale: What’s Going On?

The spotlight has recently turned towards the Uniswap Foundation following notable shifts in its holding patterns. Uniswap Foundation, which backs the development and expansion of the Uniswap (UNI) protocol, made headlines for its sale of the platform’s native tokens. 

Uniswap’s UNI token has maintained its position as a prominent digital asset in decentralized finance (DeFi). Yet, the recently reported sale by the foundation responsible for its proliferation raises questions regarding its long-term strategy and the implications for the wider UNI ecosystem.

$43 Million Uniswap Token Sale Capture Attention

Recent data suggests that the Uniswap Foundation moved roughly $43.3 million worth of UNI tokens within three days. This activity becomes even more interesting when considering that substantial movements of UNI tokens from the foundation’s wallet have been rare over the past two years, according to data from Etherscan.

In a disclosure by the renowned on-chain analytics platform Lookonchain, the foundation reportedly transferred 6.8 million UNI tokens (valued at $29.16 million) to a new digital wallet.

A segment of these tokens also reached FalconX, a recognized digital asset trading platform. Adding another layer to this saga, Lookonchain unveiled that three million UNI tokens, translating to $13 million, were sold via the Kraken exchange deposit address affiliated with the automated market maker Wintermute.

The timing of this sale coincided with a period of significant gains for the UNI token, according to Lookonchain.

Further Insights Into The Foundation’s Token Activities

PeckShieldAlert, a renowned market risk assessment entity, also highlighted that the Uniswap Foundation had relocated nearly ten million UNI tokens to four distinct addresses.

With the cumulative value pegged at approximately $43.3 million, according to PeckShieldAlert, these revelations raise further questions about the foundation’s objectives behind these token sales.

Shedding light on the inflow of tokens to the foundation’s wallet, data from Etherscan documented the receipt of 10,685,984 UNI from a wallet labeled “Uniswap V2: UNI Timeblock” on October 20.

Meanwhile, regardless of the sell-off from the Uniswap Foundation, the UNI token has been in green over the past week, up by 7.5%. This bullishness appears due to the current global crypto uptrend sentiment, especially with Bitcoin up by more than 20% in the past 7 days.

Uniswap (UNI) price chart on TradingView

Featured image from Unsplash, Chart from TradingView

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Uniswap Is Decentralizing: Why Are DeFi Users Worried About This Feature?

Devin Walsh, Executive Director of the Uniswap Foundation, a non-profit organization supporting the growth and decentralization of the Uniswap decentralized exchange (DEX), believes that Uniswap is decentralizing. Walsh even compares the current state of the DEX to that of Ethereum. The executive also acknowledged that the DEX’s current level of success is due to the active participation and contribution of the developer community.

Uniswap Becoming More Decentralized?

The Executive Director responded to a thread on X where Antonio Juliano, the founder of dYxX, a layer-2 DEX on Ethereum, insinuated that Uniswap is now centralized. However, it started on a decentralized path. 

With centralization, Juliano added, the protocol can iterate quickly, mainly to boost revenue. On the other hand, by being more decentralized, dapps allow users to enjoy the full advantages of decentralized finance (DeFi).

Decentralization of protocols launching on public ledgers, like Ethereum or Cardano, is crucial. Usually, the community will gauge how well a dapp is decentralized by looking at, among other factors, how decisions are made and which party spearheads development. 

In the case of Ethereum, Walsh pointed out that the community has taken over from where Vitalik Buterin, the co-founder; and Consensys, a technology company developing solutions for Ethereum, left. Since then, multiple developers have been refining the network and ensuring it is secure and robust to anchor dapps.

Uniswap is one of the most popular DEXes on Ethereum, looking at total value locked (TVL). DeFiLlama data shows that the exchange manages over $3 billion of assets and is primarily active on Ethereum. However, the exchange enables trustless swapping on layer-2 platforms like OP Mainnet, and public ledgers like the BNB Chain.

Uniswap TVL| Source: DeFiLlama

Preparing For Hooks And KYC?

Presently, Uniswap Labs leads the development of Uniswap. Nonetheless, Walsh said more developers are now building and contributing solutions. This, the Uniswap Foundation executive further observed, is especially considering the scheduled launch of Hooks in v4.

There is no specific timeline for when Uniswap will deploy the latest iteration, but the release of the Cancun upgrade on Ethereum will play a role. The protocol will be more customizable with Hooks since the feature acts more like a plugin. 

Even so, there have been concerns that Hooks, though being developed by community developers, will be the basis for Uniswap to censor liquidity providers (LP) or traders who don’t verify by adhering to know-your-customer rules (KYC). UNI prices remain under pressure at spot rates and may break lower, registering new 2023 lows.

Uniswap price on October 18| Source: UNIUSDT on Binance, TradingView

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Uniswap’s New Fee Structure: Are You About To Pay More For These Tokens?

Recently, Uniswap, a prominent decentralized exchange, made headlines by introducing a 0.15% swap fee on specific tokens. While generating buzz and curiosity, this decision has raised several questions regarding its impact on traders.

Decentralized exchanges (DEX) facilitate peer-to-peer trading without intermediaries. The absence of centralized entities has advantages but also presents challenges, especially regarding fee structures.

Uniswap’s latest update to alter its fee structure is a significant shift with potential implications for its large user base.

Uniswap Fee Structure: Analyzing The Financial Impact

According to data shared by Colin Wu, a blockchain-focused reporter, the daily fees from this change on Uniswap V3 could range between $388,000 and $444,000.

Providing deeper insight into the platform’s operations, Wu mentions that approximately 35% to 40% of the entire transaction volume on Uniswap occurs on the front end.

These figures, while substantial, are just the tip of the iceberg. Specific tokens targeted for this new fee include popular tokens such as ETH, USDC, WETH, USDT, DAI, WBTC, agEUR, GUSD, LUSD, EUROC, and XSGD.

However, according to the Chinese reporter, this fee will only apply when these tokens are traded through Uniswap Labs interfaces on the mainnet and its supported Layer 2 networks.

Understanding The Broader Context

While the announcement sparked curiosity, it also led to some confusion concerning the fees. Uniswap’s help center, in response, clarified that these newly implemented fees stand apart from the Uniswap Protocol fee switch, which is determined through votes by Uniswap’s governance mechanism.

Despite the explanation by the DEX’s team, the genesis of this new fee introduction remains ambiguous to many within the community.

In response to Wu’s initial post, several individuals opposed the update, with a particular user questioning the rationale behind the 0.15% fee, the considerations leading to this specific percentage, and the selection of particular tokens for the fee imposition.

According to data from Coinmarketcap, Uniswap has reported a significant trading volume of $518.3 million in the past 24 hours, capturing 18.3% of the market share within the decentralized exchange sector.

Meanwhile, Uniswap native token UNI has witnessed a substantial decline. The asset has dipped by more than 10% over the past two weeks and showed a continuous drop of 5.5% in the last 24 hours. Currently, UNI is trading for $3.8.

Uniswap (UNI) price chart oN TradingView

Featured image from Bitcoin-Bude, Chart from TradingView

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Uniswap V4 Expected To Be Huge, But Is This Requirement A Dealbreaker?

Due to its innovation, Uniswap Labs plans to introduce Hooks in the upcoming Uniswap v4, putting the world’s leading decentralized exchange in the spotlight. According to a critic on social media platform X, the DEX is on the know-your-customer (KYC)-verification route once Hooks on Uniswap v4 are released.

Uniswap Hooks and KYC| Source: "yourfriendSOMMI" on X

Uniswap v4 Hooks Is The Beginning Of Censorship?

Sharing screenshots, the user shared insights and said the exchange brings KYC verifications on the latest iteration. At the same time, the platform plans to use the “permission required” off-chain server on UniswapX for performance enhancements. 

UniswapX is an open-source solution allowing permissionless and open trading across Automated Market Makers (AMMs) and other liquidity sources. It is currently being tested on the Ethereum mainnet.

Though the community has embraced these developments, the critic said these requirements, especially the identity verification requirement on Hooks, will be available as an option before being gradually made mandatory down the line.

Uniswap v4 is being developed, and Hooks will be one of the key updates. Hooks are programmable extensions for customizing pool and trade behavior, tightly integrated with Uniswap’s core protocol. 

With Hooks, it becomes easier for developers to implement other features such as dynamic fees, on-chain limit orders, and overly improved customization. In this way, it will also be possible to integrate Uniswap v4 into other protocols.

Uniswap Evolution: Building “Real” DeFi?

The DEX has constantly evolved and released new features since the first version went live in late 2018. Uniswap v1 introduced AMM, opening up decentralized finance (DeFi). This allowed liquidity providers (LPs) to be crucial to market making. 

Uniswap price on October 16| Source: UNIUSDT on Binance, TradingView

In Uniswap v3, the exchange released concentrated liquidity (CL). This feature allows LPs to specify a price range within which they are willing to provide liquidity. In Uniswap v2, LPs provided liquidity across the entire price range of the token pair. In v3, liquidity depth increases while traders get better pricing.

Despite the criticism, Hooks has been supported in some quarters. For instance, the user acknowledged that the feature would amplify the value proposition of some protocols, making them real “DeFi” platforms. At the same time, while responding to the critic, another commentator said the feature will do more than what anybody else has done for “real DeFi.”

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Uniswap Unveils Funding Plan For Ecosystem Revamp As UNI Price Hits 4-Month Low

In a move aimed at advancing their vision of creating a self-sovereign Internet with a permissionless alternative to traditional finance (TradFi), the Uniswap Foundation (UF) has submitted a proposal to secure the second tranche of funding. 

The desired funding, totaling $62.37 million, will be put to an on-chain vote scheduled for Wednesday, October 4th, with a 10% buffer included to mitigate price volatility.

Uniswap Foundation Seeks Community Approval

The separation of the funding request into two tranches was initially established to allow the UF to finalize its legal entity and obtain non-profit status from the Internal US Revenue Service (IRS), as the company is based in Brooklyn New York, ensuring clarity on tax implications before receiving the larger portion of funds. The UF obtained this status in the spring of this year, prompting the request for the second tranche.

The first tranche of funding, approved by Uniswap governance last year, aimed for $20 million but experienced a decrease in value due to a drop in the price of UNI, the native token of the Uniswap Protocol. 

Consequently, the Uniswap Foundation received $17.3 million worth of UNI, creating a remainder of $56.7 million to be requested in the second tranche. A 10% buffer of $5.67 million has been included to account for potential price fluctuations, bringing the total request to $62.37 million.

The Uniswap Foundation plans to receive the funds in UNI, with the amount determined using a 30-day UNI/USD TWAP (Time-Weighted Average Price). The pricing and its source will be explicitly noted in the on-chain proposal to ensure transparency in the process.

Regarding future operations, Uniswap currently holds 452,534 UNI tokens for employee vesting, valued at around $1.9 million. Factoring in a capital loss of $259,000 and the current UNI price, the UF has approximately $9.24 million remaining for operational expenses, expected to sustain them until Q4 2024. 

Lastly, according to the proposal discussion, the Uniswap Foundation anticipates revisiting governance in mid-2024 to extend its operational runway.

UNI Consolidates Amid Bearish Market Sentiment

Uniswap’s native token, UNI, has been consolidated between the price range of $4.198 and $4.311 over the past week. 

This price stagnation comes from the overall market trend and a bearish macro outlook, with the token experiencing a 0.5% decline in the fourteen-day timeframe. Furthermore, UNI has dropped 9.6% over the past 30 days, reaching a four-month low.

Uniswap

In the short term, UNI bulls must defend the current price floor to establish a strong support level. They aim to surpass the resistance walls at $4.418 and $4.487 to break the downtrend structure and potentially rally toward $6.259. It is worth noting that this price level is still below UNI’s annual high of $7.629.

According to Token Terminal data, Uniswap’s circulating market cap currently stands at $3.67 billion, experiencing a recent decrease of 6.66%. The fully diluted market cap, which considers the total number of UNI tokens that could enter circulation, stands at $4.27 billion, displaying an 8.15% decrease.

The total value locked (TVL) in Uniswap, representing the amount of cryptocurrency assets deposited and utilized within the platform, has recently declined by 5.31%. This decline reflects the broader Decentralized Finance (DeFi) sector’s challenges.

Featured image from Shutterstock, chart from TradingView.com