Key Takeaways
Should investors expect a DeFi revival?
The Federal Reserve lowered borrowing costs, which can set up favorable conditions for DeFi. The TVL is near all-time highs, and stablecoin reserves were also surging.
What are the short and long-term expectations for UNI prices?
A UNI breakout past $10 could lead to a rally to $12; over the next few weeks and months, $15 and $19 were the resistances to watch.
The popular DeFi token Uniswap [UNI] has shed 5.49% on the price charts over the past week.
The short-term losses likely followed the market-wide price dip as Bitcoin [BTC] bulls proved unable to defend the $117.5k support level.
Source: DeFiLlama
The $5.81 billion market cap altcoin is the governance token of the Uniswap protocol, a popular example of the automated market maker (AMM).
DeFiLlama stats showed that the protocol’s Total Value Locked (TVL) stood at $5.89 billion.
It has a 30-day fee of $131.89 million. Interestingly, its revenue is shown to be zero since all trading fees are distributed to the liquidity providers and do not go to a UNI treasury or UNI token holders.
By DeFiLlama’s methodology, this makes the protocol revenue zero, even though significant fees are earned.
The TVL in DeFi was at $169 billion, close to the November 2021 high of $168 billion.
Rising stablecoin reserves on exchanges and an easing Fed policy could set up conditions for a DeFi revival, which UNI could benefit from.
Uniswap price prediction — Threats and opportunities
Source: CryptoQuant
In early 2025, as UNI began its downtrend, the average spot order size revealed increased participation from whales. At the time of writing, the metric signaled increased whale order activity.
This does not guarantee a downtrend, but it is something to watch out for.
Source: Santiment
The age consumed metric saw a slight uptick over the past ten days, but it was not hugely impactful. The mean coin age continued to trend higher, to show network-wide accumulation. This was encouraging news.
Source: UNI/USDT on TradingView
On the 1-day timeframe, the swing structure remained bullish. So long as the token trades above $8.68, the Uniswap price prediction would lean bullishly.
However, the RSI was below neutral 50, and the OBV was unable to breach the highs set in July.
This reflected underwhelming buying pressure and slightly bearish momentum.
If Bitcoin can rally and investor sentiment toward DeFi turns favorable in the coming weeks, a rally past $12.3 could easily see UNI prices move to $15.5 and $19.5, the next weekly resistance levels.
Source: UNI/USDT on TradingView
In the lower timeframes, the falling wedge pattern showed some promise of a bullish breakout targeting $12.
However, unless the $10 level is breached and reclaimed as a demand zone, swing traders and investors need to be wary of a price drop below $9.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
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