Umee price prediction: What is UMEE?

Can Umee cross over to the world of mainstream crypto?

UMEE                                 
Is UMEE capable of making a recovery? – Credit: Umee.cc
                                

Contents

The Umee network aims to make operating between blockchains easier. Apart from being its native token, what is UMEE? Let's take a look at that and see if we can find out more about the Umee price prediction, too.

Umee explained

In the world of cryptocurrency, the most important concept is, it can be argued, the blockchain. After all, the overwhelming majority of cryptocurrencies are based on blockchains, with only Ripple’s XRP coin standing out among the major players as a blockchainless crypto. However, there are some issues with blockchain technology that even hardened crypto evangelists might, if only to themselves, admit to. 

For instance, one of the key issues is that it can be difficult to cross over from one blockchain to another. If you are building a program, or making a transaction, on one blockchain, there are times when you are just unable to do the same thing on another chain. This means that things cannot develop as well as they might otherwise be able to. The idea that might occur to some people is that if there was a blockchain that could link to other chains while, at the same time, serve as a place where programs and protocols could be built, that would save a lot of time, energy and money and, in turn, become a very useful system for people to use.

This is where the Umee system comes in. What makes this interesting is that it is a blockchain that is based on another blockchain network. The Cosmos system involves, to put it simply, blockchains linked to a main blockchain, but which are, in themselves, fundamentally independent. 

With that in mind, let’s try to explain what it is that Umee does. The idea behind Umee  – which takes its name from the Japanese word Umi meaning ocean – is that it is a blockchain that exists on the Cosmos blockchain network that allows people to get their crypto capital together. It does this by allowing people to move crypto across blockchains freely using its network. 

One service that it provides is crypto lending and Umee’s lending service is permissionless – meaning, in effect, that two people can carry out a transaction without having to get the approval of a central figure. This means that Umee is part of the world of decentralised lending and that there are no background checks when it comes to borrowing or lending on Umee. Connected to its self-proclaimed ability to move cryptos across blockchains, people can use it to borrow or lend cryptocurrency over separate blockchains.

Umee is powered by the UMEE native token. This cryptocurrency is used, in effect, to add blocks to the blockchain. This is because people get the right to do so based on how many UMEE they hold, because Umee operates with a proof-of-stake consensus mechanism. It is also used to pay transaction fees on the Umee network and gives people the right to vote on changes to the network. It is also worth noting that UMEE also exists on the Ethereum blockchain, making it a cross-chain token. So while you will hear references to the Umee coin, don’t worry. It is the same thing. 

One final point. Umee does not give the name of its founders. While this is not too uncommon, especially for a decentralised system such as UMEE, this may be worth noting if you like to have as much information about the people responsible for a crypto as possible before deciding to invest in it.

UMEE price history

Now, let’s examine the UMEE price history. While past performance should not be seen as any indicator of future results, knowing what the token has done previousl may prove useful when it comes to either making or interpreting an Umee price prediction.

UMEE first entered the open market in February 2022 and it was worth a lot more than it is at the time of writing (28 June 2022). For instance, on 16 February, it started the day at $0.2602 before jumping up to what still serves as an all-time high of $0.3657 later that day. After that, though, it was all downhill.

While it is not that uncommon for a cryptocurrency to be somewhat overvalued on launch, a combination of a sluggish market and worries following Russia’s invasion of Ukraine saw it close the month at $0.1079. March saw things continue to decline, with the month’s low coming when UMEE dropped to $0.07979 on 24 and 25 March although, by the end of the month, it had recovered to trade at $0.09827, with the token enjoying a bull run that saw it peak at $0.1047 two days later. After that, though, a small drop was followed by a larger one, as the impact of China’s ban on crypto made itself known, and by 14 April it fell to a low of $0.0575. There was some room for recovery, though, and on 18 April it hit $0.07966. In spite of that boost, it was then time to drop down again and it finished the month at $0.05912.

UMEE price history
UMEE price history - Credit: Currency.com

The start of May saw some room for cautious optimism for investors, as UMEE rose again to $0.06897 on 8 May. It was then that things got really bad for pretty much everyone. The depegging of the UST stablecoin and the collapse of the associated LUNA cryptocurrency put the market in turmoil and, on 12 May, it dropped to a low of $0.03204. Although it first looked like there would be a little bit of a fightback, with UMEE reaching a high of $0.04064 the very next day, things fell back down again and, on 26 May, it closed at $0.02893. The end of May made what had been a bad position a month earlier look like a wild hope, as the token traded at $0.02663.

June saw the Celsius crypto lending platform halt withdrawals, and the following slump saw it confirmed that cryptocurrency was now in a bear market. On 12 June, the day of the Celsius stoppage, UMEE, which had risen above $0.03 earlier in the month, fall to $0.0258, and things continued to get worse, reaching a low of $0.02283 on 22 June. By 28 June, UMEE was worth about $0.0236.

Although CoinMarketCap did not give a current circulation, thus meaning the site did not have a market cap, it did say there was a total supply of 10 million UMEE. On the other hand, CoinGecko said that there were around 1.41 billion UMEE in circulation out of a total supply of a little over 10 billion. This would give it a market cap of $33.8m which, according to CoinGecko, made it the 510th largest crypto by that metric.

Umee price prediction

With that all said and done, it’s time to take a look at the Umee price prediction. Keep in mind that price forecasts, especially for something as volatile as cryptocurrency, are very often wrong. It is also worth remembering that long-term crypto price forecasts are often made using an algorithm, which means they can change at a moment’s notice. 

First, CoinArbitrageBot is incredibly bullish in its Umee price prediction for 2022, suggesting that the crypto will reach about $0.072 this year before breaking through $0.10 in 2023, when it should be worth a little under $0.129. In 2024, UMEE should be worth around $0.208, while in 2025 the token is forecast as getting to $0.337.

Next, CryptoPredictions.com has a Umee coin price prediction that sees it hit $0.03568 by the end of the year before it rises to $0.033 in June 2023. A year from then, the crypto should be worth a little over $0.05. The site then goes on to make a Umee price prediction for 2025 that sees it trade at $0.0575 in June and close the year at $0.0621. In 2026, the site says that UMEE should be worth $0.066 in June before rising to reach $0.069 in December. 

Meanwhile, DigitalCoinPrice has a Umee crypto price prediction that sees it reach $0.0307 in 2022 as it goes on a long-term upward run that sees it get to $0.0439 in 2025. The following year, it should dip slightly to $0.0423, but the year after that it should trade at $0.0559 before it reaches $0.0774 in 2028 and $0.0962 in 2029. The new decade should open with UMEE worth $0.11 before it gets to $0.12 in 2031. 

Finally, PricePrediction suggests that UMEE will get to $0.049 this year, $0.072 in 2023 and $0.11 the year after that. In 2025, the token should be worth $0.16, rising to $0.22 the following year, $0.31 in 2027 and $0.43 in 2028. UMEE should close the decade at $0.62 before the site makes a Umee price prediction for 2030 that see the token trade at $0.87. In 2031, UMEE should break through the dollar barrier to trade at $1.24.

Final thoughts

Before we finish, a few things to point out. First, while Umee appears to be a potentially useful system, it is still pretty new, so we don’t know how well it will attract users. We also need to remind you that we are in a crypto bear market, so whether UMEE can get back to previous levels is something we may not truly know the answer to for a little while yet.

Second, while the Umee network offers a lot of people potential benefits, it does not do a great job of making those benefits easily understandable. The network’s documentation is full of jargon and could very well be confusing for people who are not already experts on the more technical side of blockchain technology. It will be interesting to see if the system can make its operations more accessible to people.

Finally, with Umee being highly pro-decentralisation, it may not come as much of a surprise that the people behind it choose to remain anonymous. It will also be no surprise if, as a result, potential investors who might want to know who is responsible for the system that their crypto is based on decide to look elsewhere. As always with crypto, it is important to be careful and do your own research before investing. 

FAQs

According to CoinGecko, there were about 1.41 billion UMEE in circulation out of a total supply of around 10 billion as of 28 June 2022.

It is hard to say. On one hand, UMEE has lost a lot of its value since it launched in February 2022, but that said we are currently in a crypto bear market, so any return to previous highs may not happen for some time yet. You should do your own research before deciding to invest in this token.

It could do. It is worth noting that the predictions are all optimistic, but it is also worth noting that predictions are very often wrong. We should also suggest you remember that cryptocurrencies can be highly volatile, and prices can go down as well as up.

This is a question that you will have to answer for yourself. Before you do so, you will need to do your own research, remember prices can go down as well as up, and never invest more money than you can afford to lose.

Further reading

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