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Uniswap Eyes Breakout as Whale Activity Signals Institutional Confidence

Joe M Avatar
  • Uniswap native token, UNI, has sparked renewed investor interest following a decisive 5.40% daily gain off the $5.60 support.
  • Backed by a surge in trading volume and rising on-chain activity, UNI’s recent rebound hints at a broader trend reversal after months of bearish pressure.

Whale Activity Signals Smart Money Inflow

Recent on-chain metrics suggest that large investors are reentering the Uniswap ecosystem. Over the past 30 days, whale holdings increased by 2.40%, while both retail and mid-tier investor holdings declined. This divergence signals a quiet accumulation phase, where smart money is absorbing supply from weaker hands. Notably, large transaction volumes surged: transfers in the $1 million to $10 million bracket jumped by 200%, while those under $1,000 fell by over 20%. This shift in transaction structure points to growing institutional confidence in UNI’s long-term outlook.

User Growth and Volume Strengthen UNI’s Fundamentals

Network data further supports the bullish case. Active addresses rose by 19.39%, while new address creation spiked 66.12% in just one week. This uptick in user activity suggests renewed engagement with the Uniswap protocol, potentially driven by broader DeFi interest or investor repositioning. The consistent rise in address activity, despite recent price stagnation, reflects underlying user growth and increases the probability of sustained demand.

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Technical Indicators Hint at Imminent Breakout

UNI has been consolidating between $5.50 and $7.50 for over two months, forming a tight trading range that typically precedes breakout moves. The MACD indicator shows a potential bullish crossover, while the OI-weighted Funding Rate remains positive at +0.0056%, suggesting market participants are increasingly willing to pay to stay long. Combined with volume growth and a rising number of whale transactions, these signals point to increasing upward pressure. However, a clean break above the $7.50 resistance remains critical for confirming a full trend reversal.

While UNI remains range-bound, its current trajectory—supported by whale accumulation, expanding user activity, and bullish technicals—suggests a potential breakout is brewing. Investors should watch the $7.50 level closely, as a move beyond it could validate UNI’s recovery and signal the start of a new uptrend.