UNI coin price prediction: Is the honeymoon over for good?
The UNI decentralised exchange launch took the world by storm. Will enthusiasm continue?
- What is the UNI coin?
- From airdrop to blast off: the rise of UNI
- Latest position
- What are the forecasters saying?
The Uniswap (UNI) token, an unexpected hit with cryptocurrency traders, has enjoyed considerable gains over its short lifespan. UNI is currently trading just above $22, not bad for what was intended to be a plain, vanilla utility token.
Are you looking to get the lowdown on all the latest stats and forecasts for this surprising cryptocurrency? Then join us as we look into the UNI token price prediction for the coming years.
What is the UNI coin?
UNI is the crypto token powering Uniswap, the decentralised exchange (DEX) for trading cryptocurrencies, built on the Ethereum blockchain.
Uniswap has proven extremely popular in a short space of time, with more than 79 million trades executed since Hayden Adams launched the protocol in November 2018. Over $70bn in crypto is traded every month on Uniswap.
The protocol incentivises users to provide liquidity pools to facilitate these exchanges, making it more decentralised than Coinbase and Binance. Unfortunately, many liquidity providers are failing to make bank. According to a study by Bancor, 50% of liquidity providers are losing money because of crypto price volatility.
Prior to UNI’s launch in September 2020, these liquidity pools were generated from whatever cryptocurrency was being traded. While this system worked, the introduction of a native token allowed the Uniswap community to vote on upgrades and changes to the protocol.
Be sure to check out our guide for a more-detailed rundown on the specifics of the Uniswap platform and what it hopes to achieve. Keep reading below for the latest in UNI stock price predictions.
From airdrop to blast off: the rise of UNI
Rather than undergoing an initial coin offering (ICO), UNI was distributed to existing Uniswap users via what has come to be known as an "airdrop". This airdrop was conducted in September 2020, giving users 400 UNI each, amounting to $1,200 in value.
In essence, UNI is a governance token, meaning it was designed to facilitate Uniswap’s decision-making process, rather than to serve as a currency.
That did not stop UNI from rising the crypto ranks. As of 23 November, UNI is valued just over $22 against the US dollar, a tremendous figure for a so-called "governance token". It boasts a market cap of $13.9bn and the latest 24-hour trading volume was just over $251m.
As with most alt coins, an early-stage honeymoon spike in value surpassed subsequent performance, and a bull run which saw UNI pass the $40 marker in May could not quite maintain its momentum. However, a range market over the past four months has kept the token in a pretty comfortable position, if weaker than during the early-stage fervour.
At time of writing, UNI was trading at just over $22 with a market cap of $13.9bn, placing it as the 17th largest cryptocurrency by capitalisation. UNI’s most recent 24-hour trading volume was $251.3m and circulating supply stands at nearly 628 million against a total supply of one billion tokens.
UNI’s 20-day moving average displays a downtrend, but decent performance over the past three trading days suggests that it could be rebounding off the support line; that will be determined by the following day’s performance.
The 20-day moving average crossed below the 50-day average on 18 November, which is a sign of a bearish trend. Bulls did manage to reverse a late-October downtrend with a bullish crossover and will likely attempt to do this again.
The 23 November trade looks set to form a bullish engulfing pattern, which similarly preempted the previous bullish crossover. Whether you decide to open a position now is dependent on whether you believe a trend reversal is due.
Let us look at what analysts have in store for the UNI crypto price prediction.
What are the forecasters saying?
According to Wallet Investor, a UNI coin price prediction for 2025 of $114, representing a 425% uptrend, is not unreasonable. In the shorter term, the online forecaster has a UNI coin price prediction for 2022 of $53.73, or a 247% year-on-year rise.
The UNI coin price prediction for the end of the year expects a slight decrease based on trade over the past 30 days, hence Wallet Investor’s analysts are bearish at the moment.
Analytical data at Digitalcoin is far more conservative, fielding a 2025 UNI price target of $66.267. While this does suggest positive returns, the forecaster’s UNI coin price prediction is well below others.
Coin Price Forecast’s UNI coin price prediction for 2030 has a modest $43.49 target.
Please be aware that all UNI crypto price prediction forecasts are highly speculative and do not constitute robust financial advice. Any major investment require extensive research and input from expert advisors. Be careful with your trades and never invest more than you can afford to lose.
UNI has proven to be a valuable asset for early adopters, despite not maintaining its price after a honeymoon phase. Analysts are a bit more hesitant going forward; it all depends on the success of the Uniswap protocol. It is up to you to decide, but please conduct thorough research before placing any trade.
Forecasters have mixed feelings about this. Some expect 425% in gains over four years, while others are more cautious, expecting UNI to reach $43.49 by 2030. Some analysts predict a slight downturn in the coming months.
Given the volatile nature of cryptocurrencies, be sure to only invest as much as you can afford to lose.
You can buy UNI with Currency.com. Head to our trading platform for the latest UNI coin price.