Uniswap’s UNI token has captured the attention of investors as it continues its upward trend, driven by significant on-chain developments. According to CoinGecko, the token has surged 30% over the past month, maintaining its momentum in the green zone. With the market’s renewed bullish sentiment, UNI appears poised for potential gains in the near term.
Uniswap recently announced a development aimed at enhancing user experience on the platform. Investors are showing excitement as Uniswap continues to innovate and improve user engagement.
Gas Abstraction: A Leap For Uniswap UX?
Matt Rice, Chief Technology Officer at Across Protocol, and Mark Toda, Staff Software Engineer at Uniswap, recently discussed ERC-7702. If passed, this proposal would introduce a new transaction type known as externally owned accounts (EOAs). ERC-7702 aims to implement gas abstraction, a feature designed to enhance user experience and significantly reduce transaction costs.
According to Mark Toda, the primary challenge for successful gas abstraction implementation is authorizing a user’s address without gas on-chain. He explained, “If you are trying to send some tokens on a random chain or perform any transaction, you currently need a native token to pay the gas fees or authorize a contract to take your tokens.”
ERC-7702’s most notable feature is gas sponsorship, which allows users to pay gas fees distinct from their chain of origin. This feature, once implemented, will greatly improve cross-chain interoperability and enhance user experience.
As of now, ERC-7702 is still in its draft stage, meaning the proposed features are subject to revision. Nevertheless, it presents a promising future for the Uniswap community.
UNI: Investors Should Watch These Levels
Currently, UNI has continued to gain ground against bearish trends in the medium term, positioning the token near the $7.518 resistance level. This critical resistance level might continue to pose a challenge in the coming days as the market reaches its peak after a period of sustained bullish movement.
Investors should closely monitor the token’s movement in the coming hours and days, as this could determine UNI’s trajectory. If the token breaks through the $7.518 resistance level, it could pave the way toward a medium-term target of $9.012.
However, if the $7.518 resistance remains unbroken or if the bulls break through briefly before pulling back, it could trigger a downward movement by the bears, targeting $5.899 in the medium term.
