The UNI token holds steady despite the incurred strong selling pressure, shortly after Uniswap sent shockwaves over the market with the launch of their native governance token. In our latest Altcoin news, we are reading more about the price analysis.
The launch of the UNI token was unlike any other seen before because people that used the platform to trade or contributed to the liquidity before the start of September, received a minimum of 400 uni tokens. It’s important to note that some anticipated UNI to see a sharp selloff because of the widespread distribution of the valuable tokens but it seems that the buy-side pressure has outweighed the inflows of the 400 tokens sell orders from the users of the platform.
Analysts are now noting that they are waiting for the Uniswap token to see further upside in the near-term. One trader even set the sights on a move towards $5.00 which could mark a huge surge of the current sub $3.00 price level. uniswap has been leading the defi market trend and became the platform of choice for token investors and liquidity providers. It’s also important to know that the launch of the governance token was unlike any other before with the users of the platform being granted ownership of 400 uni token distribution. Some users even traded on the platform when the token was in its v1 stage and received more than 400 tokens.
As for the cryptocurrency prospects, its upside could be somewhat limited because of having a diluted valuation of about $3 billion. That being said, most of the total supply will not be released for a few years which makes the current market cap of $177 million low compared to the overall utilization of the protocol. One analyst even said that UNI holds strong despite the insane selling pressure which indicates that it is posed to see further upsides:
“UNI insane sell pressure, biggest free monies drop in crypto, all other alts bleeding & still price holds, why? maybe it’s because it’s the most legit, respected and used thing in crypto right now. i don’t think uniswap price crashes badly…”
At the time of writing, the uni token holds its ground trading below the $3.00 price level marking a rise from the lows of around $1.00. one analyst even believes that the really towards a fresh high of $5.00 could be imminent in the near-term.
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