On the wave of hype around Uniswap: Unicorn token soared in price and then depreciated

The excitement surrounding the issuance of the governance token of the leading decentralized exchange Uniswap has sparked interest in coins with a consonant name. One of them – Unicorn Token – increased in price more than 60 thousand times, after which it collapsed to its original levels.

The situation that has arisen resembles the pump and dump of SushiSwap’s “meme clones” – HOTDOG, PIZZA and KIMCHI, which took place in early September.

In the case of Unicorn, extreme volatility originated in a project coin that has existed since August 2019. It is listed on the ProBit and CITEX exchanges, and has the same ticker as the native Uniswap token, UNI.

Unicorn Token price dynamics. Data: CoinGecko.

The CoinMarketCap service also finds UNI COIN and Universe by the UNI ticker, which are 272 and 1495 in terms of capitalization, respectively. The effect of the appearance of the native Uniswap token manifested itself only in the case of Universe and was not so pronounced.

At its peak, the price almost doubled its initial levels. At the time of writing, the gain has dropped to 17%.

Universe price dynamics. Data: CoinMarketCap.

The hype around the UNI token could also affect the Unisocks token (SOCKS). Over the past day, the asset has added 129.7% in price. The growth began with news of the Uniswap governance token.

Unisocks price dynamics. Data: CoinGecko.

As a reminder, Uniswap released the UNI governance token on September 17. An hour later, it was listed on the Binance exchange. After another five hours, Coinbase Pro reacted in a similar way, causing the so-called “Coinbase effect.”

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