Uniswap (UNI) is on the rise and countering the downtrend across the crypto industry as optimism about its integration into the Polygon ecosystem continues to attract buyers even as the DeFi leader benefits from a slight increase in its activity. At the time of writing, UNI / USD is trading at around $ 17.16.

The leading DEX on Ethereum has seen its market capitalization increase since entering the popular scaling solution for Layer 1 blockchain, Polygon. This development will provide Uniswap users the convenience of faster transaction processing and lower gas fees, and has helped UNI enter the top 20 cryptos by market cap.

Entering the Polygon ecosystem will allow Uniswap to lower its transaction costs, a key hurdle that has kept small retail investors from using its platform in recent times. This could dramatically increase its user base and the surge in activity may increase the value of its governance token in the future.

Following the integration with Polygon, the Uniswap community also plans to branch out into another Layer 2 blockchain, Aribitrum, in the near future. This could make the DeFi application much more scalable and help it maintain its lead even as new DeFi players flood the market and threaten to take market share from it by offering more attractive rewards, easier interfaces and more. benefits to their users.

Uniswap token is also supported by increased buying activity among Ethereum whales. According to WhaleStats, which analyzes the activity of the 1,000 largest Ethereum wallets, UNI has overtaken Chainlink’s LINK token to become the most traded ERC-20 token among whales.

UNI / USD technical analysis

On the UNI / USD H4 chart, most of the moving averages as well as the main MACD technical indicators and momentum show a strong bearish bias. However, the Stochastic also reveals some interest among buyers.

UNI / USD

Uniswap’s price remains very close to the pivot point at $ 17.15, making the situation quite precarious for buyers. A further push from buyers may see the UNI rise towards test resistance at $ 20.32, but if more sellers come in we could see the PP crash very soon.