Key highlights:
Uniswap is starting to feel different again, and not because of hype or short-term excitement. For a long time, UNI sat in an awkward spot. The product kept growing, the protocol stayed dominant, but the token itself never quite justified the attention.
Lately, that disconnect is fading. The UNI price action is cleaner, the structure is holding up, and for the first time in a while, Uniswap’s token economics are actually reinforcing what the chart is showing. That combination is what’s pulling UNI back onto traders’ radars as the price trades around $6.10–$6.40.
UNI breaks into a bullish structure and holds support
On lower timeframes, the UNI price has clearly shifted its short-term behavior. After slipping through the early days of December and gathering a base at the level of $5.20, the price managed to break out of a descending channel and initiated a new trend with an ascending channel.
What stands out is how the price is behaving after the breakout. Instead of fading back into old ranges, UNI is holding above rising support around $6.00 and consolidating higher. Dips are getting bought faster, which indicates buyers are becoming more confident instead of reactive.
$UNI has broken bullish and is holding an ascending channel.
Above support, higher prices are likely. pic.twitter.com/iqO8ZHyqvX— FOUR | Crypto Spaces (@X_Four_iv) December 28, 2025
FOUR from CryptoSpaces summed it up well by pointing out that the UNI price has flipped bullish and is now holding an ascending channel. As long as that structure stays intact, the path of least resistance remains higher, with upside levels opening toward $6.80 and beyond.
Uniswap higher-timeframe picture is improving too
When you zoom out, the setup starts to look even more constructive. On the monthly chart shared by Polaris, UNI has reclaimed a level around $5.80–$6.00 that has defined its price action since 2022.
The UNI price briefly dipped below that area earlier this year, swept the bear market lows, and then snapped back above support without hesitation.
Since 2022, the monthly level is the only thing needed for this chart.
Now it looks even better with a sweep of bear market low and instant reclaim.
Worth accumulating imho pic.twitter.com/8w1EENg1et
— polaris_xbt (@polaris_xbt) December 28, 2025
That kind of move often signals accumulation rather than distribution. Polaris highlighted that this monthly level has essentially been the roadmap for UNI over the past few years. Reclaiming it shifts the narrative away from decay and toward rebuilding.
Moves like this don’t usually lead to instant breakouts toward prior highs near $10–$12, but they often lay the groundwork for sustained trends once broader market conditions improve.
Token economics are finally starting to matter
The technical improvement alone would be enough to spark interest, but what really makes this move different is what’s happening on the fundamentals side.
Uniswap recently made a major shift in token economics. After the UNIfication proposal passed with near-unanimous support, around 100 million UNI tokens were burned. That’s roughly $591 million worth of supply permanently removed from circulation at current prices. More importantly, protocol fees are now being used to fund ongoing burns.
Uniswap just flipped the switch on real token economics.
• 100M $UNI burned (~$591M) after UNIfication passed with 99.9% support
• Protocol fees now fund ongoing burns
• Web app fees set to zero → usage first, value accrual later
• Treasury drops from $2.1B → $1.6B… pic.twitter.com/9pBe0KkfB4— Tom Tucker (@WhatzTheTicker) December 28, 2025
Uniswap reduced fees on its web application to zero while focusing on adoption. Over time, the value will accrue as a result of deflation.
The treasury value, on the other hand, reduced from $2.1 billion to $1.6 billion. This is a sign that the project is focusing on investing the cash rather than hoarding it.
The market responded quickly. The UNI price pushed toward $6.40, trading volume jumped more than 52%, and the market cap moved back to monthly highs near $4.8 billion.
Why this move feels different from past UNI rallies
The reaction to these changes wasn’t just a short-lived spike. Volume expanded, the UNI price held above $6.00, and follow-through buying showed up instead of immediate selling. That kind of response usually means the move isn’t being driven solely by short-term speculation.
What’s different this time is that UNI finally has a clear value accrual story. The token is no longer disconnected from the protocol’s success. As Uniswap grows, supply contracts, and that alignment matters.
UNI still isn’t a low-risk asset, and DeFi always carries uncertainty. But the token is no longer relying purely on narratives. There’s now a mechanism that rewards long-term adoption.
Key UNI price levels that matter going forward
Right now, UNI is trading near an important decision zone between $6.00 and $6.40. The ascending channel on the 4-hour chart remains the key short-term structure.
As long as the UNI price stays above rising support near $5.90, pullbacks look like healthy consolidation rather than weakness.
On the upside, the next major area to watch sits in the $7.00–$7.50 range, where price previously struggled earlier this year. Clearing that zone would signal something bigger than a simple recovery bounce.
On the downside, a clean break below $5.80 would indicate UNI needs more time to digest recent gains. That wouldn’t invalidate the larger thesis, but it would slow momentum.
CoinCodex’s one-month UNI price prediction points to around $7.68, though current chart structure remains the bigger focus.
What this means for UNI over the longer term
UNI doesn’t need to dominate headlines to perform well. It needs steady usage, consistent fee generation, and time for deflation to do its work. The recent changes give it exactly that setup.
Reclaiming a critical monthly level around $6.00 while introducing real token burns is about as constructive as it gets for a DeFi blue chip. This doesn’t promise a straight move higher toward prior cycle highs, but it does improve the overall risk-reward picture.
For the first time in a long while, the Uniswap chart, fundamentals, and token economics are all pointing in the same direction. And when that happens, it’s usually worth paying attention.
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Source:: Uniswap Price Prediction: How High Can UNI Go After the Token Burns?
