Uniswap Records Massive Spike Amid China-Induced FUD
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Uniswap (UNI) has recorded a massive 35% surge over the past 24 hours, pushing it to the number 12 spot on the top crypto rankings. This bullish traction comes amid a 500% surge in testing volume for the crypto asset.
DeFi tokens have recorded massive double-digit gains over the past few days, while other cryptos struggle to recover from the recent correction triggered by the Chinese government’s Crypto ban reiteration.
Some analysts have highlighted the recent surge in DeFi tokens as a direct result of the Chinese crypto crackdown. Prominent Chinese cryptocurrency journalist Colin Wu asserted that the crypto ousting by the Chinese government would push local crypto traders towards DeFi assets, thereby causing a surge in Metmask wallet volumes and DEX protocols like dYdX. Colin Wu noted that:
“A large number of Chinese users will flood into the DeFi world, and the number of users of MetaMask and dYdX will greatly increase. All Chinese communities are discussing how to learn DeFi.”
DeFi can allow Chinese traders to circumvent KYC registration or come under government scrutiny, thanks to its decentralized nature. Consequently, the already popular DeFi industry could become more mainstream with the influx of Chinese traders. At press time, the total value locked (TVL) in DeFi protocols is at $177.2 billion after gaining 7% over the past week.
Key Uniswap Levels to Watch —September 27
Following a bearish descent from the $23.45 area last Monday to the $17.50 support yesterday, Uniswap posted a massive 47.7% explosive rally to the $26.00 high. The market appears to have entered into a mild correction mode as the price fell to $24.00.
Considering the bullish factor highlighted in this article and the market-wide recovery, we expect to see a bullish continuation above the $26.00 mark and near $28.00 over the coming hours.
Meanwhile, our resistance levels are $26.00, $28.00, and $30.00, and our support levels are $23.45, $21.50, and $20.00.
Total Market Capitalization: $1.95 trillion
Uniswap Market Capitalization: $15 billion
Uniswap Dominance: 0.78%
Market Rank: #12
