Uniswap Reclaims Crown Amid DEX Market Volatility and PancakeSwap Decline

After a turbulent few months in the decentralized exchange (DEX) space, Uniswap has managed to reclaim its position as the market leader in what appears to be a strong comeback in August ￰0￱ platform recorded a trading volume of $111.8 billion, up 28.3% month-on-month, representing the second time this year it has surpassed the $100 billion ￰1￱ Strikes Back According to the latest report shared by CoinGecko, this resurgence allowed Uniswap to recover from its June low, when its market share had fallen to 19.4%, overtaken by PancakeSwap amid the latter’s surge driven by the Binance Alpha 2.0 ￰2￱ rewards program boosted PancakeSwap’s activity, which helped it achieve record daily trading volumes of around $5 billion and a peak market share of 64.5% in June.

However, August told a different story as PancakeSwap’s trading volume plummeted to $92.0 ￰3￱ was a sharp 44.7% decline from July, which reduced its market share to 29.5% and allowed Uniswap to retake the top ￰4￱ secured its position as the third-largest DEX in August while capturing 7.4% market ￰5￱ recorded almost $23 billion in trading volume, which marks a 28% month-on-month ￰6￱ remaining top 10 decentralized exchanges collectively accounted for 27.3% of the market. meanwhile, the DEX ecosystem continues to evolve rapidly, with newcomers like Hyperliquid making notable gains. Hyperliquid’s August volume surged 129.3% month-on-month to $21.4 billion, pushing its market share to 6.9% and elevating it to the fourth-largest ￰7￱ the process, it surpassed several Solana-based ￰8￱ still far behind Uniswap and PancakeSwap, Hyperliquid’s rise evidences the increasingly competitive nature of the DEX sector.

UNI’s Volatile Trajectory Uniswap strengthened its market dominance, but the same can’t be said for its governance token, UNI, which experienced significant volatility over the past month, forming a local top above $12 in mid-August before suffering back-to-back ￰9￱ token showed strong upward momentum through August but has faced selling pressure in recent weeks, with the price consolidating in the $9-10 range through early ￰10￱ the turbulence, Bitwise CIO Matt Hougan noted that UNI at $6 billion is modest by global standards, and compared it to Storebrand, which happens to be a mid-sized Norwegian insurance ￰11￱ added that despite its DeFi prominence, its valuation remains relatively small in the broader financial landscape.