The week of Christmas has historically often been characterized by high volatility, but this doesn't always lead to a spike in the value of cryptocurrency tokens. So for this volatility to translate into an upward movement, the tokens need to rely on other factors as well.
BeInCrypto has taken a closer look at three altcoins that have strong catalysts with the potential to support their price around New Year's 2025.
Uniswap (UNI)
Uniswap has come onto investors' radar as the UNIfication proposal approaches approval. While the voting will last until December 25, the support rate has already reached 97.8%. This high level of support indicates that confidence in the upgrade is quite solid. This also increases both speculative interest and trading volume around UNI.
The proposal includes a plan to burn 100 million UNI tokens: This will reduce supply and strengthen price dynamics. The expectation itself has already led to a 26.5% increase in UNI. The token, currently trading at around $6.27, is preparing to break the resistance at $6.57. If it gains strong momentum, UNI could target $7.00 and even higher levels.
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If there are intense profit-taking before the application, risks remain on the table. Early selling may limit upward potential. In such a scenario, it may be difficult for UNI to break above the $6.57 band again, and the price could enter a price stagnation (consolidation) just above the support at $6.02. This price movement can delay the continuation without breaking the upward trend.
Midnight (NIGHT): Current Price and Analysis
NIGHT has risen 71% in the past week and has set a new all-time high (ATH) by rising above $0.100 in the last 24 hours. Behind this rise is the significant visibility and trust brought by the ongoing Midnight project led by Charles Hoskinson.
The strong connection with the project stands out as a main catalyst. If investor confidence strengthens during the holiday period, the upward trend may continue. As long as demand for the supply is maintained, NIGHT may surpass the ATH of $0.120. If the wind blows in its favor, it has the potential to carry price gains to $0.150.
After a rapid rise, downward risks are also seen to have increased. Early profit-taking could lead to a correction. If sales accelerate, NIGHT could slide below the support at $0.100. Breaking that level could push the price down to $0.075, invalidating the upward scenario.
Aave (AAVE)
Aave has been the only token among the top listings this week to see a correction: It is trading around $160 with a 14.84% drop. This contrasts with broad market uptrends. Despite the recent weakness, AAVE may recover as investors reassess fundamental data and upcoming governance developments.
A positive catalyst could be the Phase 1 voting launched for AAVE token alignment, which Aave recently announced. The proposal seeks to transition the assets belonging to the Aave brand to a DAO-controlled structure and provide protection against malicious takeovers. If investor support comes, this governance change could increase confidence and potentially drive AAVE to $164, followed by targets of $180.
If investor support does not develop, downward risks remain on the table. Continued uncertainty may lead to ongoing selling pressure. In that case, AAVE could drop below the support at $157. A deeper decline towards the $150 range could eliminate short-term upward scenarios while strengthening bearish sentiment in the market.
