The Uniswap price spiked to the highest level since May 18 as demand for the ecosystem rebounded. UNI rose to $29.30, which was about 106% above the lowest level in May, June, and July. Other Decentralized Finance (DeFi) token prices like Aave, Maker, Compound, and Curve Finance prices have also jumped.
Uniswap is one of the world’s biggest DeFi platforms with a total value locked of more than $6.50 billion. According to DeFi Pulse, the other biggest platforms are Aave, Compound, InstaDapp, and Curve Finance, and Maker. The platform helps people buy and sell cryptocurrencies in a decentralized manner.
In other words, instead of using centralized platforms like Coinbase and Binance, you can buy coins using a platform with autonomous control. Key decisions are decided by the platform users. Uniswap is built using Ethereum’s technology.
Uniswap’s technology has grown rapidly in the past few years. It has already handled cryptocurrencies worth more than $100 billion and accumulated more than 58 million users. It has more than 72 liquidity providers.
The UNI price is rising today as the volume of cryptocurrencies being traded rises. Indeed, the volume being traded in key decentralized exchanges like Coinbase has also risen. UNI is also rising because of the rising total value locked, which has risen to more than $6.58 billion.
The daily chart shows that the UNI price has bounced back in the past few days. This rally happened after the price found a strong support at $14.0420 level. Meanwhile, the price has already moved above the descending trendline that connects the highest points in June and July. Most importantly, the coin has already jumped above the 50-day and 25-day moving averages.
Therefore, I suspect that the Uniswap price will keep rising as bulls target the next key resistance level at $35, which is about 20% above the current level. On the flip side, a drop below the support at $25 will invalidate this view.