Uniswap – Why the $10-level could be critical for UNI’s future

Key Takeaways

Uniswap surged over 18% in the last 24 hours, with the $10 mark turning out to be a significant zone at the moment. Volume on DEX and CEX backed the uptrend. Will UNI stay above or below $10? 

At the time of writing, Uniswap [UNI] was one of the best-performing tokens among the top 100 cryptos by market cap as per CoinMarketCap.

With whales controlling about 50% of the supply, their activities were significant, especially at a time when the leading DeFi token saw an ecstatic rally.

As UNI led the most traded coins, it also meant that it cemented its position in the DeFi sector, where the execution by whales is mostly done.

Whale takes profit, but UNI is still strong

As the price of Uniswap surged past the $9 zone and flipped to $10, a whale saw it as a perfect time to collect its second profit on its UNI trade.

According to Lookonchain data on X, formerly Twitter, the whale had pocketed about $1.87 million in profit after liquidating his 662,606 UNI tokens.

The whale’s previous profit was in excess of $13 million.

However, despite the sell-off, it did not shake off UNI’s rising momentum. As the price broke above $10, it became evident that the price could set for more gains.

Is $10 the most critical price now?

Uniswap’s price chart recently broke out of a broadening wedge pattern that began forming on the 10th of May. 

While this breakout suggests bullish potential, caution is advised until the price confirms its direction.

There’s a chance this move could be a false breakout, so traders may wait for confirmation before placing long bets.

Meanwhile, 24-hour trading volume has surged from $52 million at the start of July to $288 million, signaling rising market interest and momentum.

A retest of the broken resistance, followed by a bounce above $10 would confirm a bullish continuation for UNI.

Alternatively, if the price respects its previous channel, Uniswap could enter a short-term correction.

Despite this uncertainty, UNI remains bullish, and its on-chain activity is rising, signaling growing investor interest and network engagement.

Unichain gaining momentum

Meanwhile, Uniswap’s blockchain, Unichain, continued to gain momentum with its DEX volume at $718.52 million as of press time.

This was more than its previous day’s volume, despite being hours away from the close.

Traders were more active in the month of May, cooled off in June, but seem to be resuming in July with more volume coming in.