Uniswap Surges Past $6.37 as Institutional Buying Drives Price

Uniswap's price surged to an eight-month high above $6.37, marking a nearly 20% gain this week.

The rally was driven primarily by institutional buying, with market maker Wintermute adding over $11 million in UNI to their wallet, according to on-chain analyst Professor Onchain.

This is distinct from the earlier part of the rally, which was fueled by Uniswap's token burn mechanism. The protocol has been reducing its supply through automated buy-and-burn, but this week's surge is attributed to institutional demand.

The underlying fundamentals of Uniswap are also improving, with weekly decentralized exchange volume on Robinhood Chain climbing 90% to $1.58 billion and total value locked increasing by 87% to $127 million.