Two months after experiencing a significant surge in transaction volume, Uniswap (UNI) and Maker (MKR) have witnessed a notable decline in that metric. Data from IntoTheBlock reveals that last week, the volume for these tokens was slightly above $1 billion, marking a substantial 71.30% decrease since the peak observed in March. Notably, fluctuations in volume can influence price action, as evidenced by the rally in these tokens' prices during the March surge.
During that period, there was speculation that UNI and MKR might spearhead the resurgence of DeFi tokens, which were experiencing a lag. DeFi, short for Decentralized Finance, encompasses cryptocurrencies with fundamentals tied to the sector.
As of the latest data, UNI's price has decreased by 33.62% within the last 24 hours, standing at 7.50%. Similarly, MKR has experienced a decline of 23.17% within the same period.
In addition to price and volume changes, Uniswap and Maker have witnessed a displacement from their previous positions in the ecosystem. Both projects previously held top positions in terms of Total Value Locked (TVL), indicating the perceived trustworthiness of a protocol. However, Maker now ranks fourth, while Uniswap sits at sixth place in terms of TVL.
Despite the correlation between price and volume, sentiment surrounding UNI and MKR differs. Santiment data reveals that UNI's Weighted Sentiment is 0.181, indicating a positive sentiment, while MKR's sentiment stands at -0.242, suggesting a lack of bullish sentiment.
Therefore, it can be inferred that the market has shown more favor towards UNI compared to MKR. If the sentiment metric transitions into positive territory, interest in MKR may improve.
In the short term, it is unlikely that transaction volume for UNI and MKR will reach the levels observed in March, potentially leading to sideways price movements. However, if altcoins collectively experience an uptrend, UNI's price may revisit $10, while an upward trend could propel MKR's value to $3,300.
May 2024, Cryptoniteuae