UNI Weekend Market Review
Last weekend, #uniswap (#UNI ) performed exceptionally well. On Saturday, the price rose by 17.75%, breaking through the $6 mark, but slightly retreated on Sunday, dropping by 2.32%. This strong trend was largely driven by the UNI proposal, which significantly boosted market confidence and was quickly reflected in the price trend.
Introduction to the UNI Proposal
The UNI proposal is an important governance decision. As of the time of writing, the on-chain voting has reached the legal quorum, and voting will end on December 25.
This proposal will implement protocol fees in Uniswap v2 and some v3 liquidity pools. These fees will be used to burn UNI tokens, while retroactively burning 100 million UNI, simulating the number of tokens that should have been burned if the protocol fee system had been implemented since the token's issuance. Once the proposal was announced, the price of UNI rose from $5.30 at the start of voting to $6.16, an increase of over 16% in just a few days, indicating positive market expectations for the proposal.
Technical Analysis
From a technical chart perspective, the daily closing price is above $5.97, indicating that a bullish structure has formed. The price may test the imbalance region between $5.33 and $6.05 again before continuing the trend.
The momentum oscillator is about to produce a golden cross, indicating that upward momentum is dominating the market. However, the OBV indicator has not yet reached a new high, suggesting that buying pressure may have slightly weakened, but the overall trend remains bullish.
Swing Trading Strategy
For traders, it may be advisable to wait for the price to pull back to the range of $5.60 to $5.80 before making a buying move. This price range is a liquidity concentration area shown on the clearing heat map, and a price retracement usually absorbs demand, paving the way for the next round of increases.
The short-term bullish target is $7, which is the resistance level that previously turned from a support level. If the price falls below the imbalance point of $5.33, the trading strategy needs to be reassessed.
Summary
The UNI proposal made significant progress over the weekend, driving the price to break through key levels. In the short term, the price may retreat slightly, but the overall bullish trend remains. If demand continues to increase, UNI is expected to further challenge the $7 level or even higher. For investors, paying attention to the progress of the proposal and the price retracement area is key to seizing swing trading opportunities.#加密市场观察
