Uniswap (UNI) price jumps 15% in DeFi, cryptocurrency market rebound

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Uniswap (UNI) was among the top performers among the most popular cryptocurrency tokens in the previous 24 hours, recording better gains than some of the major cryptocurrencies namely Bitcoin (BTC), Ether (ETH) and Binance Coin (BNB).

On September 15, the UNI / USD exchange rate jumped 13.26% to its seven-day high of $ 25.68. Traders continued to bid higher on the pair entering Wednesday, pushing its value to $ 26.07 at one point, up more than 15% from the previous session’s opening of $ 22.66.

Market-wide recovery behind UNI’s gains?

The majority of Uniswap’s gains over the past 24 hours appear to have surfaced following a market-wide recovery.

For example, during this time frame Bitcoin, the benchmark cryptocurrency that has a strong influence over the rest of the crypto tokens, surpassed $ 47,000 after rising 4.85% on Tuesday. Meanwhile, Ethereum saw its native ETH asset rally to $ 3,500 in a price jump of 4.57%.

Elsewhere in the crypto market, Binance Coin, XRP, Dogecoin, Luna, and Chainlink also rose. In contrast, the SOL native asset of the smart contract platform Solana fell 6.47% as a result of a denial of service outage on its network.

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At the same time, Cardano (ADA), one of Solana’s main competitors, fell by more than 1%.

The performance of the top 15 cryptocurrencies over the past 24 hours. Source: TradingView.com

At first, gains among top tokens, including Uniswap, seemed to have been helped by capital rotations out of the SOL and ADA markets.

In detail, Solana’s market capitalization has jumped over 400% since the start of the quarter following its foray into the burgeoning non-fungible token (NFT) industry, giving traders a decent opportunity to lock in interim profits. In addition, the grid failure accelerated the profit-taking scenario.

On the other hand, Cardano has drawn speculation due to its upgrade from Alonzo which made it a smart contract platform for the first time since its launch. Additionally, its 2,500% year-to-date performance has given traders adequate opportunities to “sell the news” and earn gains.

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UNI holders are masters of 9.15 million MIR tokens

Uniswap’s superior performance over the previous 24 hours is also inspired by speculation that owning UNI could give them access to drop tokens.

In a recent memo, Brendon Murray, head of content marketing at Boston-based blockchain analytics firm Flipside Crypto, cited research from Twitter user jr3225. The study cited that many UNI holders did not realize they could claim 9.15 million MIR tokens from the Mirror Protocol synthetic asset platform via a December 2020 airdrop.

By comparison, LUNA players might claim more free MIR tokens than UNI – MIR / USD has jumped 200% this year.

Total MIR claimed on the y-axis, type airdrop on the x-axis. Source: @ jr3225

The report, released on Tuesday, coincided with UNI’s price pump.

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Uniswap technical outlook

Uniswap’s latest rally saw him test a confluence of support made up of downside resistance from the trendline and the 38.2% Fib line (~ $ 26.093) of a retracement chart Fibonacci (taken from a high of $ 42.89 to a low of $ 15.70).

UNI / USD daily price table. Source: TradingView.com

Sellers took control near the confluence, prompting UNI / USD to correct 4.59% to an intraday low of $ 24.50. Its next support target is, again, a confluence of 23.6% Fib line ($ 22.12) and the ascending trendline which is broadly an ascending channel.

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An intermediate bullish outlook implies a breakout of the UNI / USD above $ 26.09 and a step towards the next Fib levels ($ 29.30, $ 32.51, etc.) unless pair n ‘hits the upper trendline of the ascending channel near $ 42.89.

Meanwhile, a bearish pattern could see the UNI / USD move below the $ 22.12 Fib line and Channel support to target $ 15.70.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of UKTN.com. Every investment and trading move comes with risk, you should do your own research before making a decision.