Assessing the Chances of Uniswap and Sushiswap Boarding the Bull Train

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Amid the push-ups and market fixes over the past month, a particular set of coins has dropped in the pecking order. Uni, Sushi, Cake, all these assets, other assets with ticker titles, have slipped in the ranking of cryptos in the market.

At the time of going to press, Uniswap was ranked 18th with a market cap of $ 13.2 billion, while PancakeSwap and Sushiswap had fallen to 43rd and 76th, respectively.

The rise of DEXs has been a critical factor in appreciating the price of these tokens, but their current performance suggests there may be a lack of momentum. With the market ready for a bullish rally in late December, will these tokens run out?

Uniswap, SushiSwap: how far away from historic highs?

Source: trading view

At the time of going to press, both UNI and SUSHI were attempting to break their immediate resistance at $ 31 and $ 14.50 respectively. While SUSHI is currently experiencing a busy period, UNI is currently consolidating in the same price range for the 8th week in a row.

Both tokens remained at 76.54% and 85.26% of their ATH levels in May. When the fundamentals of the chain were observed, it didn’t indicate much enthusiasm either.

Source: Santiment

At the time of printing, addresses active for UNI may be observed dropping to nominal levels. During the first quarter of 2021, activity was massive and since the collapse UNI has lost ground in the market. SushiSwap painted a similar picture with a drop in active addresses in terms of the 7-day average. However, recent price performance is pushing active addresses higher.

Source: Santiment

But are DEXs also dead?

Source: Dune Analytics

Well, not quite yet.

For now, DEX weekly volume indicates a high average and Uniswap continues to lead the incursion with 67%. DEX volume for the past 30 days alone exceeded $ 90 billion, with the total number of DEX traders exceeding 3.9 million.

However, Coingecko suggested that the overall DEX volume was still dominated by PancakeSwap, as over the past week the decentralized exchange supported by BSC generated more 24-hour trading volume than UNI V3 and Uni V2.

Will Uniswap miss the bullish hype?

Technically, momentum should catch up with Uniswap as it remains one of the most active DEXs on the market and SushiSwap would fall under a domino effect once UNISwap pumped up. In addition, institutions were also crammed onto UniSwap. Valor Inc., a Swiss issuer of exchange-traded products (ETP) based on digital assets adopted DeFi on October 26, when it launched the world’s first ETP that tracks the governance token of the leading decentralized exchange Uniswap.

Therefore, the odds of Uniswap missing a bullish rally can be divided at 50:50 for now, but due to strong technical indications and DEX activity, Uniswap should be able to generate a stronger appreciation of price in the future.


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