UNI Uniswap has gained in investors’ favor as the token continues its upward trend amid key on-chain events. According to CoinGecko, the token has increased by 30% since last month, keeping the token in the green zone. With the market rising again, UNI could be on track to make some gains in the tiny term.

Uniswap recently announced a solution that could completely improve the user experience on the platform. Investors are excited as the platform continues to find groundbreaking ways to improve user engagement.

Gas Draw: Leap Towards UX Uniswap?

Chief Technology Officer at Protocol, Matt Riceand Uniswap software engineer, Marek Toda Lately discussed regarding the ERC-7702 directive which, if adopted, will introduce a novel type of transaction known as externally owned accounts (EOA). Usually, ERC-7702 will implement a gas consumption function that will both improve the comfort of employ and save users a lot of money.

Another substantial jump for Uniswap 🦄@MarkToda With @uniswap talks to @mric32 on how gas harvesting can simplify DeFi for millions. Is this the user experience revolution we’ve been waiting for? pic.twitter.com/UVR3Mid5HQ

— Across (@AcrossProtocol) September 24, 2024

According to Marek Toda, the biggest obstacle to the successful implementation of gas consumption is the authorization of a user’s address without gas in the chain.

“…Think about it now, if you’re trying to send some tokens on some random chain and you’re trying to swap from there or do whatever there is, right now you need to have a native token to pay for fuel…or authorize some kind of contract to get your tokens,” he said Toda asked about a scenario where a user exchanges tokens with no chains available on the platform.

In tiny, the most notable feature of ERC-7702 is gas sponsorship, which helps users pay gas fees regardless of their chain of origin. This feature, once ERC-7702 is implemented, will significantly improve interoperability, improving user experience.

At the time of writing, ERC-7702 is still in the draft phase, which means the novel on-chain gadgets offered by Toda and Rice are still subject to revision. Nevertheless, it creates a dazzling future for the Uniswap community.

UNI: Investors should watch these levels

At the time of writing, UNI continued to gain ground over the bears in the medium term, which places the token near the resistance level at $7,518. This key resistance level may continue to resist in the coming days as the market reaches its peak after days of continuous bullish movement.

With this in mind, investors should monitor the token’s movement in the coming hours and days as it could determine the token’s trajectory. If UNI breaks this key resistance level, it will open the way to $9,012 in the medium term.

However, if $7.518 remains unbeaten or the bulls break briefly before retreating, it could trigger a downside move by the bears, who will hit the $5.899 target in the medium term.

Featured image from Pexels, chart from TradingView