According to new data from Santiment, Uniswap’s native token UNI has rallied more than 70% over the past week as traders react to a proposal that could drastically reshape the protocol’s economics. The plan seeks to burn 100 million UNI tokens while introducing a revised fee structure that redirects protocol revenues toward liquidity provider incentives and token burns.
The proposal, dubbed “UNIfication,” has sparked renewed investor optimism, highlighting Uniswap’s intent to improve governance alignment and create sustainable rewards for stakers and liquidity providers.
Whale Activity Signals Market Peak But Retail FOMO Builds
Santiment’s on-chain metrics show that whale transactions exceeding $100,000 have reached their highest level in four years, suggesting significant accumulation and redistribution among large holders. The surge in whale activity mirrors patterns observed before Uniswap’s major price top in February 2021.
At the same time, over 1,500 new UNI wallets were created in a single day, the most since late 2022, confirming that retail FOMO has entered the market. This influx of new holders, combined with whale transfers, indicates a highly active market cycle where speculative energy is returning to mid-cap DeFi tokens.
Outlook for November
Despite the short-term euphoria, Santiment analysts caution that UNI could experience a temporary cooldown once profit-taking begins. However, the broader outlook remains constructive due to improved fundamentals, governance reform, and renewed developer activity within the Uniswap ecosystem.
With whales active and network growth accelerating, analysts see a scenario where UNI may stabilize at higher support zones before potentially resuming its uptrend later in the month.