Uniswap Price Surges 10% Weekly as Dormant Tokens Re-enter Circulation

Uniswap's price action has gained significant momentum in recent weeks, driven by renewed network activity and investor interest. The token's price has been steadily climbing since late June, approaching a key resistance area at $7.80. This level has historically acted as a strong barrier, and its breach could determine UNI's short-term direction.

Dormant wallet activity on Uniswap has reached unprecedented levels, with nearly 73 billion in token age consumed. This metric, which tracks tokens moved from inactive wallets, indicates that long-held tokens are re-entering circulation. Such movements often precede higher trading volumes and price appreciation, suggesting that long-term holders may be repositioning in anticipation of favorable market conditions.

According to blockchain data analytics firm, the sharp increase in dormant token activity has led to a 7.2% drop in the average wallet age. This shift is significant as it often points to tokens returning to circulation, which can drive up trading volumes and price movements. Historical patterns suggest that such spikes in dormant token activity frequently align with network activity bursts, setting the stage for price appreciation.

Chart analysts have highlighted that UNI's current price action is pressing against a critical resistance zone near $7.80. The 4-hour TradingView chart shows repeated rejections at this level, which has acted as a selling wall in past attempts. If UNI can flip this level into support, it could unlock the next target range between $9.00 and $9.50. However, failure to clear $7.80 may lead to a retreat toward familiar support zones around $7.20 and $6.80.

Supporting the potential breakout, volume data reveals a notable increase during recent bullish candles. This uptick suggests rising buyer interest as UNI approaches its resistance threshold. If this buying strength continues, it may help validate a sustained move upward. Uniswap has recorded a 2.57% increase in the last 24 hours and nearly 10% over the past week, with daily trading volume surpassing $426 million, indicating strong short-term momentum.

For now, Uniswap’s near-term direction rests on whether it can decisively break past $7.80. Dormant token activation, increasing volume, and bullish momentum are aligning, but confirmation is needed. A successful breakout could set a direct path toward the psychological $9 barrier, while rejection may invite retests of lower support levels. Traders are closely watching this key resistance area, as its breach could signal a sustained upward move for UNI.