Will Uniswap [UNI] Surprisingly Outperform After Bitcoin Halving?
Signs of Bullish Signals
A few weeks ago, UNI experienced a sharp drop after the United States Securities and Exchange Commission (SEC) disclosed its potential lawsuit against Uniswap Labs, the company behind the token.
This caused fear, uncertainty, and doubt (FUD) around the token and caused UNI’s price to drop to $5.86.
However, over the past seven days, the cryptocurrency’s value has increased by 8.31% and is trading at $7.81.
Another notable development is the withdrawal of Compound (COMP) tokens from the same whale.
This indicates a potential surge not only for UNI but also other DeFi tokens.
Market Sentiment and Future Predictions
The current market sentiment towards Uniswap is more negative than positive, but the market value to realized value (MVRV) ratio tells a different story.
The 30-day MVRV ratio is currently -10.01%, meaning that if each UNI holder sold at the current price, the average return would be a 10% loss.
However, there could be a buying opportunity between $6.50 and $8, and if buying pressure increases, UNI’s price could rebound to double digits.
The upcoming altcoin season could also boost its price, with targets potentially between $15 and $20.
Uniswap’s total value locked (TVL) has increased by 138% in the past 30 days, indicating a recovery from recent FUD and a perceived high level of credibility for the protocol.
If this TVL continues to rise, UNI’s price could also approach all-time highs.
