UMA (UMA) has registered an impressive 28.7% gain in the last seven days, according to data by CoinMarketCap. In a week marked by market losses and little gains, the DeFi token showed much resilience to emerge as one of the biggest weekly gainers.
Although most of the market stands in awe of the stunning bullish performance of the popular meme coin – PEPE -, UMA's remarkable price gain has recorded much profit for its investors, drawing significant attention.
UMA's Price Action
Initially, UMA began trading the week around a price region of $1.95. The token showed no significant movement until two days after when it attempted a bullish run but couldn't break past the resistance level at $2.31.
On May 5, i.e., yesterday, UMA experienced a hike in its market price, gaining by over 43% to move from $2.18 to break above the $3 price mark for the first time since August 2022.
Although UMA's price has since slipped from such high levels, the DeFi token appeared to have found support and could be gearing for another breakout.
At the time of writing, UMA is trading around $2.55, with a 0.22% loss in the last 24 hours. In this same period, the token's trading volume has boosted by a staggering 438.82% to attain a value of $336.70 million.
Interestingly, UMA's price growth is also reflected by the growing traction on its platform. Based on data from Stelareum, Total Value Locked (TVL) on the UMA protocol has grown from $10.33 million to $11.12 million over the last two days.
UMA trading at $2.523 | Source: UMAUSD Chart on Tradingview.com
UMA Protocol Set To Record New Partnerships
Amidst the impressive market performance of the UMA token, its underlying network appears to make much progress on the adoption front.
According to a tweet yesterday, the UMA Protocol announced that two new DAOs is set to integrate its latest blockchain product, the oSnap module, a unique governance solution aimed at merging on-chain and offchain governance system.
The Optimistic Snapshot Execution, or oSnap as it is known, enables the "execution onchain of transactions performed off-chain immediately but with protections against harmful proposal execution."
The last protocol to integrate the oSnap module was the popular decentralized exchange, ShapeShift.
That said, UMA generally functions as a decentralized platform that allows other DeFi protocols to build "priceless" financial contracts on Ethereum while providing them with publicly verifiable market data.
In essence, this project functions as an oracle, granting various DeFi protocols the underlying infrastructure to create fast, efficient, and secure synthetic derivatives on the Ethereum blockchain.
Featured Image: Binance Research, chart from Tradingview
Source: NewsBTC.com
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