UNI is the governance token for Uniswap . UNI was introduced on 16th September 2020 through a retrospective airdrop to users who have interacted with the protocol either by swapping tokens or by providing liquidity. Uniswap is a decentralized exchange (DEX) that makes it easy for users to swap an ERC-20 token for another ERC-20 token without the need of a centralized intermediary. With a DEX, traders do not have to deposit their tokens on an exchange and be exposed to the security risks of a centralized exchange. An AMM uses a pricing algorithm to price assets. Uniswap uses the “x*y = k” formula to price its assets. Within the formula, x represents the amount of one token in the liquidity pool, y is the amount of the other asset and k is a fixed constant. In Uniswap, the value of both assets constantly remains at a ratio of 50:50. Currently, the 0.3% trading fees do not accrue to UNI token holders - all trading fees currently only accrue to Liquidity Providers. With the protocol doing over $1 billion of daily trading volume, experts are speculating that the price of UNI will be based on the potential return made through fees, should at some point governance decide to enable that. The trading volume of Uniswap (UNI) is $24,404,440.51 in the last 24 hours, representing a 3.40% increase from one day ago and signalling a recent rise in market activity. The highest price paid for Uniswap (UNI) is $44.92 , which was recorded on May 03, 2021 (about 2 years). Comparatively, the current price is -88.60% lower than the all-time high price. The lowest price paid for Uniswap (UNI) is $1.03 , which was recorded on Sep 17, 2020 (over 2 years). Comparatively, the current price is 396.50% higher than the all-time low price. Market capitalization of Uniswap (UNI) is $3,855,007,830 and is ranked #20 on CoinGecko today. Market cap is measured by multiplying token price with the circulating supply of UNI tokens (750 Million tokens are tradable on the market today). The fully diluted valuation (FDV) of Uniswap (UNI) is $5,114,325,160 . This is a statistical representation of the maximum market cap, assuming the maximum number of 1 Billion UNI tokens are in circulation today. Depending on how the emission schedule of UNI tokens are designed, it might take multiple years before FDV is realized. The community is bullish as more than 68% of users are feeling good about Uniswap (UNI) today.
There are two schools of thought in determining the price of Uniswap.
By way of intrinsic value: This typically involves on-chain metrics, project metrics and financial metrics of Uniswap, collectively known as fundamental analysis. The law of supply and demand, tokenomics, use case, project roadmap as well as regulations and governance involved would affect the value of Uniswap from a long term perspective.
By way of price action: Primarily analyzed via candlestick chart patterns and technical indicators such as MACD, RSI and the bollinger bands, technical analysis forecasts the price of Uniswap on the basis that history tends to repeat itself. As the candlestick charts are a general representation of the emotion of the market, news announcements and community sentiment can be significant price action drivers for Uniswap as well.
HODLers tend to prefer the long term nature of fundamental analysis, whereas short term traders tend to rely on technical analysis more. In reality, both analyses may combine and create interesting scenarios for Uniswap and the cryptocurrency market as a whole.
2. What is the highest price of Uniswap in history?
Uniswap achieved the all-time high of $44.92 in 2021-05-03, and is currently trading at $4.54.
3. What is the lowest price of Uniswap in history?
In 2020-09-17, Uniswap reached the all-time low of $1.03.
4. Should I buy Uniswap now?
It is important to remember that Uniswap, like all other cryptocurrencies, are subject to extreme market conditions, legal policies, project team management and other unpredictable factors. As such, cryptocurrencies fluctuate greatly and it is important to manage your own risk level. Users are advised to do your own research when making investment decisions in the crypto market.