Uniswap whales dump $27 M after BlackRock‑driven 42% rally

Uniswap’s native token UNI jumped nearly 42% to around $4.57 on Feb 11 following news that BlackRock’s tokenized Treasury fund BUIDL would trade on UniswapX, but large holders quickly off‑loaded roughly 5.95 million tokens—about $27 million worth—causing the price to fall back to $3.40【1】.

Key takeaways

• UNI rose to $4.57 on Feb 11 after BlackRock announced its $1.8 billion tokenized fund on UniswapX【2】.
• Whales sold about 5.95 million UNI (≈$27 M) during the spike, erasing roughly 26% of the gains【1】.
• On‑balance volume showed a bullish breakout with a long upper wick, indicating early selling pressure near $4.50【1】.
• After the sell‑off, UNI traded near $3.40, with support around $3.21 and resistance near $3.68【1】.
• Analysts view the event as a liquidity‑draining episode for large holders rather than a lasting trend shift【1】.

BlackRock news fuels a short‑lived rally

The price surge was triggered by BlackRock’s declaration that it had deployed its $1.8 billion tokenized Treasury fund, BUIDL, onto UniswapX and made its first direct purchase of UNI【2】. The announcement sent UNI soaring 40%‑42% in a matter of hours, with the token reaching a high of $4.57. Technical analysis showed a bullish divergence on the 12‑hour chart—price made lower lows while the RSI posted higher lows—suggesting growing momentum before the news broke【1】. However, the breakout candle featured a long upper wick and a small body, an early sign that sellers were ready to absorb buying pressure near $4.50【1】.

Whale distribution caps the upside

On the same day, on‑chain data revealed that large UNI holders reduced their combined holdings from about 648.46 million to 642.51 million tokens, a drop of roughly 5.95 million UNI—equating to about $27 million at the peak price【1】. Gate’s analysis notes that a single address moved 3.65 million UNI (≈$13.43 M) to exchanges, and the broader whale community collectively sold near 5.95 million tokens【2】. This coordinated distribution coincided with the peak of retail enthusiasm, effectively draining liquidity and causing the price to retreat to $3.40, erasing the entire BlackRock‑related gain【3】.

Why it matters

The episode illustrates a classic “news‑driven rally, whale exit” pattern: institutional headlines can generate rapid retail buying, but large holders may use the surge to liquidate positions, leaving remaining traders exposed to sharp pullbacks. With UNI now hovering near $3.40, analysts suggest that if the token holds above $3.21, a consolidation phase could follow; a break below that level might open a path toward $2.80, wiping out the rally’s gains entirely【1】. The event underscores the importance of monitoring on‑chain supply shifts and volume dynamics when evaluating short‑term price moves in DeFi governance tokens.