- Uniswap price climbs above $40
- Bitcoin dominance falls below 50 percent
- Ethereum posts new all-time highs
Trending News: Bitcoin Falls while ETH, Uniswap, and PancakeSwap Soar
There are lots of moving parts in crypto at the moment.
Of them all is the slide of Bitcoin dominance below the psychological 50 percent level.
Bitcoin Dominance is below 50% and dropping hard.
Bitcoin Dominance dropping is a result of strong existing altcoin action, not a leading indicator.
Look at ETH.
That said, it does not look like the trend is likely to end soon.
— The Wolf Of All Streets (@scottmelker) April 29, 2021
It may portend one thing: The Altcoin season is incoming.
However, this decline could also signal the top of the Bitcoin boom that lifted prices above $62k and to new all-time highs a couple of weeks back.
Therefore, if these are pointers, then Apr 18 bear bar should be significant for chartists.
After all, BTC/USD prices are zipping up and down the $10k trade range, temporarily falling below $50k last week before bouncing back.
The inaction in Bitcoin circles could also explain why traders appear to be pulling back, pinning BTC/USD within a “boring” $3k zone in the last three days.
Ethereum is Thriving
While Bitcoin searches for direction, ETH is thriving.
The network’s market cap, for the first time, usurped the market cap of PayPal—a market leader in payment processing in traditional circles.
Ethereum progress to flip PayPal.
— Documenting Ethereum 🧾 (@DocumentEther) April 28, 2021
But they might have seen the threat posed by cryptocurrencies. PayPal began accepting BTC, ETH, BCH, and LTC last year with plans of rolling the same to their global clients of over 320 million.
PayPal processed a record of ~$936B in 2020.
It's over 20 years old.
Ethereum has settled $2.3T so far this year.
It hasn't turned 6 yet.
— Piers Kicks 🧠🔌🖥️ (@pierskicks) April 29, 2021
As of writing on Apr 29, the ETH market share stands at approximately 15 percent and has been rising in the last few weeks.
The rise of DeFi: PancakeSwap and Uniswap at Record Levels
JP Morgan projects Ethereum to flip Bitcoin in the long-term.
The bank cites, among other things, DeFi and the importance of Ethereum’s smart contracts in powering the next digital economy.
Talking of DeFi, Uniswap—ahead of v3 launch, and PancakeSwap—of the Binance Smart Chain (BSC)—are at new all-time highs.
Analysts could interpret this as the rising confidence in DeFi and the possibilities that could be blast open in almost free DeFi transactions.
By the end of Q1, 1.75 million unique addresses used at least one DeFi protocol, despite DeFi users growing by 50% this quarter, and a 10x increase from the end of Q1 2020. Still, DeFi users only represent about 1% of the total Ethereum addresses. pic.twitter.com/pWZtI8lat9
— ConsenSys (@Consensys) April 28, 2021
Currently, the major impediment facing DeFi fans is the prohibitive fees, especially in Ethereum.
Uniswap Price Analysis
The UNI/USDT price is trading within a bullish breakout.
As of Apr 29, UNI is trading at $40–at around a new all-time high. It is up 10 percent week-to-date versus the USD but struggling against the resurgent ETH—losing three percent.
Every low above $40—or Q1 2021 highs could technically be a loading opportunity for aggressive buyers from price action in the daily chart.
Notice that the uptrend is with decent participation and trading volumes stand at $1.7 billion. Also, UNI bull bars are along the upper BB—indicating high momentum in lower time frames.
Therefore, in this arrangement, buyers can target the 1.618 percent Fibonacci extension level of the Q1 2021 trade range at $58.
Chart courtesy of Trading View
Disclaimer: Opinions expressed are not investment advice. Do your research.
Dalmas is a very active cryptocurrency content creator and highly regarded technical analyst. He’s passionate about blockchain technology and the futuristic potential of cryptocurrencies.