Uniswap (UNI) Whale Activity Signals Renewed Interest as Market Dips Offer Buying Opportunities

Uniswap (UNI), a major platform in the DeFi sector, is gaining market attention with increased whale activity. Data shared by Onchain Lens today showed a

DeFi exchange token UNI price dropped below a key support level over the weekend. However, the development comes amid increased whale activity, signaling optimism in the asset’s future performance.

On Sunday, UNI price fell below the $10.3 support level after dropping by over 5.30% to settle at $9.84. The token price dropped further to trade at $9.80 at the time of writing.

The development comes amid a broader market sell-off, with most crypto assets trading in the red. BTC price fell to the $98,000 level from a high of $104,000 level on Friday. This follows an announcement by the US President on new taxes for goods imported from China, Mexico, and Canada.

Meanwhile, UNI price also declined as traders pulled out of the market over concerns about rising inflation and interest rates. The token price dropped sharply from a high of $12.8 at the beginning of the month.

However, the price decline coincides with increased outflows from DEX networks. UNI琬s price experienced a decrease in Total Value Locked by more than 10% in the past 30 days.

According to data from DeFillama, Uniswap’s TVL currently stands at $5.455 billion. The decline reflects a decreased DeFi engagement, which occurs mainly due to traders’ disinterest following recent macroeconomic concerns.

As a result, UNI’s trading volume is witnessing significant declines. Competition between DeFi products, majorly newer L2 solutions and other DEXs, have also affected Uniswap’s token price and Total Value Locked.

Despite the recent price slump, Uniswap’s price is primed to see a recovery following the recent upgrades on its network.

On Friday, Uniswap Lab launched Uniswap V4, a highly anticipated upgrade for developers. This new update seeks to redefine the DeFi sector and equip DeFi developers with abilities that in the past were reserved for big financial institutions. It also wants to improve the modulation of liquidity pools and decrease transaction costs.

Apart from the upgrade, recent whale increased participation suggests that potential uptrends are imminent, possibly pushing the asset’s value up.