Earlier this week, leading decentralized exchange Uniswap shocked the crypto world when it released the UNI token after months of anticipation.
The coin was released retroactively to almost all historical users of the platform, but even still, the coin surged after its launch, shaking off selling pressure from those dumping their free allocations.
From the lows put in just an hour after the launch, the Ethereum-based UNI has surged over 600 percent, reaching a price point of $7 as of this article’s writing as per CryptoSlate data.
The coin has now reached a point where its market capitalization is nearing $1 billion, despite a mere 15 percent of the coin’s supply having been emitted.Uniswap’s (UNI) launch could trigger another DeFi boom?
Maple Leaf Capital — a crypto consultant and financier that has focused on DeFi over recent months — commented that the rapid growth in UNI’s market capitalization to $1 billion circulating and beyond will likely result in a second wave to the DeFi rally:“10th reaction and it’s a real alpha leak. As UNI gets to 1-1.5 Bn circulating and hopefully market doesn’t shit the bed, all these defi coins will look cheap again and the ceiling is now opened up + funds take some profit go rotate back.” 10th reaction and it’s a real alpha leak. As UNI gets to 1-1.5 Bn circulating and hopefully market doesn’t shit the bed, all these defi coins will look cheap again and the ceiling is now opened up + funds take some profit go rotate back. https://t.co/gls6DARG0c — Maple Leaf Capital (@MapleLeafCap) September 18, 2020
We already saw this to some extent during Friday’s trading session.
When UNI printed a blow-off top above $8.50, falling to $6 in the span of about five minutes, Yearn.finance immediately surged by eight percent. Other DeFi tokens, along with Bitcoin and Ethereum, also saw healthy jumps as capital from UNI was cycled into other crypto markets.Not everyone is convinced