- Uniswap token has staged a strong comeback in the past few days.
- This rally is in line with the performance of other DeFi tokens.
- Uniswap’s open interest in the futures market has jumped.
Uniswap price regained its momentum as investors reacted to the recent product launch in the network. The UNI token jumped to a high of $6.34, the highest level since April 19th of this year. It has soared by more than 75% from its June lows.
DeFi tokens jump
There are two main reasons why Uniswap price jumped. First, the token rallied in line with the performance of other major DeFi tokens. Maker’s MKR jumped by more than 17% in the past 24 hours while Synthetix and dYdX rose by over 10%. Historically, these tokens tend to have a close correlation.
Second, UNI price jumped after the developers unveiled UniswapX this week. Uniswap X is a new permissionless, open source, dutch-auction based protocol for trading across various Automated Market Makers (AMM).
The platform, which went live in beta this week, has numerous features. Some of the most notable ones are better prices by aggregating liquidity from different sources. Its other features are gas-free swapping, protection from the Maximal Extractabe Value (MEV), and no costs for failed transactions.
Read more: How to buy Uniswap.
Meanwhile, the open interest in the futures market has jumped to the highest level in months. Data compiled by CoinGlass shows that the open interest rose by 22% in the past 24 hours. It now stands at over 9.0 million UNI, which is equivalent to over $56.54 million.
Most of this open interest is in Binance, which has a 50.9% market share. The rest are in OKX and Bybit, which have a 28% and 11.2% market share, respectively, A higher open interest figure is a positive thing in the crypto market because it is a sign of higher demand.
Uniswap price forecast
The daily chart shows that the UNI crypto price has been in a strong bullish trend in the past few days. It has flipped the important resistance level at $5.26 into a support point. The coin is being supported by the 25-day and 50-day moving averages, which have made a bullish crossover.
Further, the MACD and the Relative Strength Index (RSI) have continued rising. Therefore, the UNI token will likely continue rising as buyers target the next key resistance level at $7. A move below the support at $5.6 will invalidate the bullish view.
