Uniswap’s token rose sharply on June 17, extending a multi-day rally to its highest level since May 22. UNI climbed through the $3.0 area and has been in a seven-session advance, moving from a reported year-to-date low of $2.3 to about $3.50, after Standard Chartered issued a bullish valuation view for the decentralized exchange platform.
Analysts at Standard Chartered said UNI appears undervalued and argued that a potential expansion in real-world finance partnerships could lift the token’s market multiple. The optimism, however, comes as Uniswap faces intensifying competition from faster-growing trading venues, including Hyperliquid, which has been drawing volumes and revenue away from the broader decentralized exchange landscape.
Key takeaways
- Price move: UNI surged to its highest point since May 22 and has been rising for seven consecutive days, according to the report coverage.
- Catalyst: The rally was driven by a Standard Chartered report that characterized Uniswap as undervalued and pointed to upside if it scales TradFi-linked activity.
- Market implication: The move suggests investors are willing to pay up for tokens tied to potential institutional adoption, even as on-chain competition remains a headwind.
- Watch item: Trading signals cited in the market commentary point to elevated momentum and a potential near-term pullback if buyers take profits.
What drove the UNI rally
Standard Chartered’s analysts said Uniswap’s token is “highly undervalued” and that UNI could rise dramatically from current levels, framing the upside around the possibility of scaling usage and developing meaningful TradFi partnerships.
The bank’s core argument rests on growth expectations for tokenization. It suggested the tokenization market could expand from $340 billion today to $4 trillion in the next two years. In that scenario, the report contended Uniswap’s valuation could improve if its tokenization-driven activity expands and if the platform can narrow the gap with Coinbase’s market-cap-to-transaction-fee multiple.
While the bank acknowledged Uniswap’s role in decentralized finance, it also highlighted that the competitive environment has changed materially. Uniswap’s recent challenges have included disruption from alternative trading venues and perpetual-focused protocols, which has weighed on the ecosystem’s ability to sustain transaction growth.
Competition pressure and weakening Uniswap economics
Data cited in the coverage showed Uniswap handling more activity than many peers over the past 30 days, with transactions worth over $48 billion. Still, the broader trend has been negative: Uniswap’s volume has been in decline for several months, falling from a reported peak of $314 billion in the third quarter of last year and dropping in each subsequent quarter.
This volume slowdown has translated into lower fees and revenues. The quarter cited in the article indicated Uniswap generated $116 million in fees, down from $151 million in Q1 and from $298 million in the same quarter last year.
Investors appear to have interpreted the Standard Chartered note as a pathway toward a change in that trajectory—essentially betting that Uniswap can leverage tokenization demand and institutional links to reverse the recent earnings momentum decline. However, the competitive backdrop remains a central risk.
Hyperliquid emerges as the operational challenge
The coverage pointed to Hyperliquid as a key disruptor. According to the figures cited, Hyperliquid’s volume reached $244 billion over the last 30 days, outpacing Uniswap’s relative position in the market.
It also said Hyperliquid’s growth has been supported by diversification beyond pure decentralized exchanges, including tokenized assets. The article noted the venue has become a top trading site for traditional assets such as crude oil, gold, and stocks, with its popularity reportedly rising during the Iran conflict period when oil trading demand was elevated—particularly over weekends.
That activity has reportedly produced stronger fee generation. TokenTerminal data cited in the article showed Hyperliquid earned over $900 million in the last 12 months, while Uniswap was described as not being in the top tier of fee generators.
The competitive threat extends to networks and liquidity. The coverage claimed Hyperliquid’s layer-1 network is outperforming Uniswap’s Unichain layer-2, citing total value locked of over $1.6 billion and stablecoin supply of $6.48 billion for Hyperliquid. By comparison, it said Unichain’s TVL fell from $878 million in July of last year to $24 million, and stablecoin supply dropped to $142 million.
Market reaction: technical momentum meets profit-taking risk
Beyond the research catalyst, the article’s technical read suggested that UNI’s move has strong momentum characteristics. It said UNI crossed the $3.02 resistance level, described as the token’s lowest point in April, and moved above the 50-day moving average. The Relative Strength Index (RSI) was cited at 70, which typically signals an overheated condition.
As a result, the commentary suggested a pullback risk. It indicated that $3.0 could be the next key level to watch for support, while a drop below that area could point to further downside toward $2.5.
Bigger picture and what to watch next
For investors, the immediate question is whether Standard Chartered’s thesis can translate into a measurable improvement in Uniswap activity and fee generation—or whether competition continues to constrain growth. With UNI already showing technically stretched momentum, near-term price direction may hinge on whether buyers can sustain demand above the $3.0 area.
Looking ahead, market participants may focus on continued on-chain metrics around DEX volumes, fee trends, and the pace of TradFi-related integration efforts discussed by analysts, alongside broader crypto market drivers such as liquidity conditions and interest-rate expectations that can influence risk appetite.
