Uniswap (UNI) has declined 25.75% over the past month, trading at $6.93. Despite the price pressure, on-chain data shows new users joining the protocol at the fastest rate since November 2022.
Analytics firm Santiment recorded 2,295 new UNI wallets in a single day, marking a four-year high in network growth. Santiment noted that sustained wallet creation could help establish a price floor, though the recent influx has not yet reversed the token's losses.
What's Driving New User Adoption
Santiment attributed the surge in new wallets to Uniswap v4 features, expanded liquidity routing options, and development of Unichain, Uniswap's layer-2 network. Uniswap v4 currently holds approximately $1.44 billion in total value locked, representing a roughly 17% increase over the past month.
Price Action and Resistance Levels
UNI has declined 3.82% over the past 24 hours, adding to its monthly losses. Analyst Phoenix attributed recent weakness to seller pressure following a test of the $10 level, noting the price has fallen below the Ichimoku cloud and moving averages on shrinking volume.
Analysts identified $7 as a critical support level. Santiment suggested that holding above $7 while network growth remains elevated could signal another test of $8, while a break below $7 paired with declining wallet creation would indicate the spike in adoption may be short-term.
Potential resistance levels cited by analysts include $7.50 and $8 in the near term, with CryptoBullet placing major resistance at $13 to $15.
What to Monitor
Key indicators for token holders include Santiment's network growth readings and whether UNI can maintain a close above $7. A recovery in both metrics would support a test of higher resistance levels.
