Uniswap is a decentralized financial protocol that has made waves in the last few months as DeFi platforms become increasingly popular
Like many decentralized financial platforms, Uniswap uses the Ethereum blockchain through the use of smart contracts.
The Uniswap token is only part of the entire Uniswap project, with the Uniswap exchange establishing itself as the largest decentralized platform in the world. Through March 2021, Uniswap was generating fees of approximately $ 3 million per day. This is a very impressive feat, especially considering that Uniswap wasn’t launched until late 2018. In this article we are going to discuss the future trading outlook.
Where can I buy Uniswap?
Current Uniswap price
Uniswap is one of many crypto platforms that has grown massively in value over the past 18 months. As recently as 12 months ago, Uniswap was valued at around $ 4, but it climbed nearly ten-fold, peaking at over $ 40 earlier this year.
After such a period of growth, it was almost inevitable that there would be a small correction, and Uniswap is currently trading at around $ 22 at the time of writing. Nonetheless, the platform’s immediate future is widely viewed as extremely promising, not least because of DeFi’s popularity as a concept.
Uniswap pricing overview
Uniswap investors are currently looking for a level of support for the token after a difficult period for cryptocurrencies in general. Most tokens have been in a bearish pattern over the past few weeks, and Uniswap is no exception to this rule.
Still, some technical analysts believe the token may have bottomed out based on certain parallel patterns on its trading charts. This would suggest the idea that Uniswap would stabilize in a certain price range, which would be promising for future trading.
Another problem that is sure to affect cryptos in general is the ongoing coronavirus pandemic. This has generally been beneficial for cryptocurrencies as these relatively new commodities are viewed as a store of value during difficult trading hours.
In general, the fact that Uniswap is based on a decentralized financial platform can only be positive for the token. DeFi is big news right now as many analysts believe it will help fundamentally change the world of cryptos. The connection of Uniswap with the Ethereum blockchain can only be positive, whereby the latter token has definitely established itself as the second most valuable in the niche.
Recent technical analysis of the Directional Movement Index indicated that the downward move in Uniswap price may be over and that would obviously be positive for the coin.
Uniswap price forecast
As June begins, many investors will wonder if Uniswap can begin to consolidate its position and begin the climb to its previous high. This is certainly unpredictable as it has been a volatile period for cryptocurrencies in general.
Source: trade view
The first thing to mention is the ongoing geopolitical situation with Covid restrictions. This has been challenging for a variety of companies and has resulted in many investors looking for alternative arrangements for their money. This has contributed to an overall bullish atmosphere for cryptocurrencies, and the geopolitical uncertainty that persists today is likely to be a big plus for cryptos too, especially with ongoing lockdowns.
The recent launch of Uniswap V3 also seems like great news for the platform. As the market for DeFi continues to grow, this type of update can only be positive for Uniswap’s already strong position on the platform. Uniswap V3 offers excellent properties, including more efficiency and more liquidity, which can only be positive for the Uniswap project as a whole.
Many market watchers believe that the great features of the latest version of Uniswap will help drive the price up. In particular, the scalability and lower fees associated with this platform must be particularly positive for the prospects of Uniswap.
Uniswap has also received a lot of support from Silicon Valley lately. Some of the big Silicon Valley companies have invested in cryptocurrency projects that will disrupt the financial sector, with Uniswap being one of the most famous. Switching institutional money into Uniswap can only have a positive effect on the prospects of this token and could even cause the crypto to buck the general trend of the market and even increase significantly in bearish conditions.
Recent patterns suggest that Uniswap has reached a level of support and foundation around $ 21, and this could send the price of Uniswap back up in the near future. The technical analysis suggests that the token could immediately break the USD 26 resistance point, which would be extremely bullish for Uniswap in the future. This is especially possible given the widespread support the token is currently receiving.
In the long term, it is very likely that Uniswap will at some point test the peak value it reached a few weeks ago. Most market watchers believe that Uniswap is currently undervalued and the powerful use cases it recently demonstrated will take the token to new heights in the months and years to come.
Uniswap is certainly also fed by the market-leading Bitcoin, and so an increase in the Bitcoin price would definitely be cheap. In this case, it can be assumed that Uniswap will reach new highs in the coming months. In the short term, Uniswap should stabilize at around US $ 21-25 in the coming weeks.
Please note that the above article is a purely opinion-based post based on relevant available data. It should not be viewed as direct investment advice.