Uniswap price hovers crucial support as volume and revenue jump

Uniswap price is stuck above a crucial support level as its monthly fees and volume jumped to the highest level since February. Uniswap ( UNI ), the largest decentralized exchange, was trading at $6.50 on Monday, slightly above its year-to-date low of $4.92. According to DeFi Llama, Uniswap processed over $73 billion in transactions this month, up from $53.2 billion in April. It marked the biggest monthly increase since February, when the protocol handled $78 billion. Most of Uniswap’s volume happened on the Ethereum ( ETH ) chain, followed by Arbitrum, Unichain, and Base. Unichain, which Uniswap launched earlier this year, has already processed over $14 billion in volume, much higher than Cardano’s ( ADA ) $4.9 billion. You might also like: Uniswap price could surge as Unichain flips Ethereum, Polygon, Sei in key metrics https://twitter.com/Uniswap/status/1926290120723911071 Uniswap’s fee revenue has also jumped this year. TokenTerminal data shows the protocol has generated over $380 million in revenue this year, surpassing Ethereum’s $275 million. Despite these strong fundamentals, UNI’s price remains 65% below its December high. One reason for this underperformance is rising competition in the decentralized exchange space. Protocols like PancakeSwap and Raydium have captured market share, with PancakeSwap alone processing nearly $100 billion in volume this month. Another headwind for UNI is whale distribution. According to Santiment, the supply of UNI held by whales has dropped to 748 million tokens, down from a high of 850 million in December. This kind of sell-off is often interpreted as a bearish signal. UNI whale are selling | Source: crypto.news Uniswap price technical analysis UNI price chart | Source: crypto.news The weekly chart shows Uniswap was trading at $6.50 on Monday, up from its year-to-date low of $4.6175. This low coincided with an ascending trendline connecting major support levels dating back to June 2022. It has formed a giant megaphone pattern, which is characterized by an ascending and diverging trendlines, and is a highly bullish pattern. If a breakout occurs, UNI could rally toward last November’s high of $19.24, representing a nearly 200% increase from current levels. However, a drop below the lower boundary of the megaphone pattern would invalidate the bullish setup and suggest further downside. You might also like: Uniswap price forms bullish megaphone as Unichain volume rises

Source: crypto.news