14.18M UNI Hit Exchanges After Burn Proposal, Price at $8
Following Uniswap’s fee buyback and burn proposal that drove UNI to $10, traders transferred at least 14.18 million UNI tokens (approximately $130 million) into cryptocurrency exchanges within 24 hours. This sudden exchange inflow reversed price gains, pulling UNI back to around $8. The large sell-off underscores the volatility and profit-taking behavior even amid token burn initiatives, signaling caution for crypto traders.
Bearish
The large inflow of 14.18M UNI into exchanges indicates significant selling pressure as holders lock in profits following the burn proposal-driven price surge. Historically, token burn announcements often trigger initial rallies followed by corrections as traders capitalize on short-term gains. The swift reversal from $10 to $8 underscores short-term bearish sentiment on UNI and suggests further volatility. In the long term, the burn mechanism could support price appreciation by reducing supply, but near-term market stability is likely to face downward pressure due to profit-taking.