Uniswap price is currently trading at $13.68 after hitting a new all-time high in what seems to be an unstoppable rally, outperforming most of the other cryptocurrencies including Ethereum. UNI price is up by 190% since the beginning of 2021 and 670% since its lowest point at $1.75 on November 5, 2020.
Uniswap is clearly leading the DeFi market and has reached a market capitalization of $3.9 billion positioning itself as the second-largest DeFi project below Chainlink.
Uniswap price continues to rise thanks to whales
The main bullish factor behind this run has been whales. Since December 18, 2020, the number of large holders for Uniswap has increased tremendously, despite Uniswap price also rising. Santiment statistics show that holders with 100,000 – 1,000,000 UNI coins ($1,300,000 – $13,000,000) have continued to accumulate. Back on December 31, 2020, the number of these holders was only 128 compared to 158 currently.
Similarly, the number of larger whales holding between 1,000,000 and 10,000,000 UNI tokens ($13,000,000 and $130,000,000) also increased from 53 on December 16 to an all-time high of 63 currently.
It’s clear that whales are accumulating Uniswap tokens despite its price rising rapidly, which indicates that they believe it will rise even higher.
Now, UNI bulls face basically no barriers to the upside but a pullback is expected to happen eventually. On the daily chart, the most critical support levels are the 12-EMA and the 26-EMAs. The 12-EMA is currently located at $9.79, which means the psychological level at $10 should serve as a robust support level if Uniswap price experiences a sell-off.
It’s important to note that the current breakout has a lot of trading volume behind it, giving a lot of credence to the bulls. The 26-EMA at $8 is the strongest support level and has held since December 27, 2020.
The RSI is overextended again and could indicate that Uniswap price is on the verge of a pullback. However, in the past, an overbought RSI didn’t necessarily stop UNI bulls from pushing the digital asset higher in the short-term.