With the Federal Reserve set to announce its latest interest rate decision on Wednesday, the altcoin market – led by Uniswap (UNI) – is showing signs of stabilizing after a broad correction. Meanwhile, gold’s recent surge to a record high has sparked hopes for a Bitcoin (BTC) and altcoin rebound.

At the same time, fears of a major crypto selloff have eased, as investors anticipate the Federal Reserve nearing the end of its Quantitative Tightening (QT) policy.

Is this what was needed all along? Let’s take a closer look.

UNI Price Key Levels to Watch

From a technical perspective, UNI recently bounced from a crucial support level around $5.5—a price point that has held firm for the past two years. The recent market selloff pushed UNI back into a key accumulation zone, attracting long-term investors and signaling a possible bottom.

However, the price has been forming a bearish ascending wedge, meaning UNI could retest the $5.5 level before making a strong move upward. On the other hand, a clear breakout above the long-term descending trendline would invalidate the bearish outlook and set the stage for a new rally.

Uniswap Fundamental Outlook

As one of the leading decentralized finance (DeFi) platforms, Uniswap has grown into a major player, with more than $3.9 billion in total value locked (TVL). The recent launch of V4 hooks has further expanded its ecosystem by allowing more flexible liquidity pool development—an innovation driven in part by Coinbase Global Inc. (NASDAQ: COIN).

On Tuesday, Coinbase announced the launch of verified liquidity pools on Uniswap through the Base network. These pools will be accessible only via Coinbase’s verification credentials. In collaboration with risk management firm Gauntlet, Coinbase aims to improve liquidity efficiency and boost mainstream adoption of digital assets.

Crypto cycles come and go, but Uniswap’s growing influence in DeFi proves it’s here to stay.