The cryptocurrency world is ever-changing, and one coin that has seen a lot of movement recently is UMA. Although the coin shows a lot of potentials, it appears to be losing its glory. So, is it a worthy investment? Read this UMA price prediction article to find out.
What Is UMA?
UMA is the native token belonging to the Universal Market Access platform, a blockchain system that provides optimistic oracles. An optimistic oracle is blockchain lingo for a data feed system that allows off-chain data to be made on-chain data with the help of human involvement.
Vitalik Buterin, Ethereum’s founder, was the first to publish the concept of “optimistic oracles.” However, Allison Lu and Hart Lambur are the brains behind the model that runs on UMA. In 2018, the two UMA co-founders decided to find a way to make global crypto markets fair for everyone involved.
With this, they created UMA’s optimistic oracle. The oracle works based on a proposed value being approved within a stipulated verification period. For instance, a proposer believes a particular crypto coin should sell for $100. They pay a bond and submit the price to the UMA optimistic oracle (OO). The OO alerts others in the market to agree or dispute the price before the verification period lapses.
If a dispute occurs, and the disputer feels the token should sell for less than the set amount, they also pay a bond, and the oracle pushes the matter to a vote. Voters are often the token holders. If the voters uphold the price, the disputer loses their bond, and the reverse happens if voters dispute the price. But if no dispute occurs, the coin receives the proposed value, and the proposer keeps their bond.
Optimistic oracles are essential in helping blockchains get access to the off-chain data they need to build smart contracts. This is what makes UMA such a promising token. As the coin used to facilitate optimistic oracle services, this coin has great potential to make huge profits, which explains why plotting its future price trajectory is important.
UMA Price Prediction 2022
The year 2022 started on a high note for UMA. The coin featured impressively high prices, and indicators were high that it would keep up its value as the year wore on. However, the crypto market has been less friendly for UMA, especially in the last half of the year.
At the start of the year, UMA recorded the highest price at $11.14. By the end of October, the coin’s highest value was $2.34. In the months in between, UMA recorded high prices of $6.67, $9.33, $8.21, $5.67, $3.30, $2.85, $3.83, and $2.81, respectively. On the lower end, the coin hit $5.65, $4.81, $7.25, $5.22, $3.09, $2.00, $2.48, $2.63, $2.30, and $2.16 from January to October.
For many investors, UMA’s price is experiencing an alarmingly high decline. From January to October, the coin’s value dropped by quite a margin. In the third quarter alone, the coin’s price tanked by a whopping 41.97%.
However, several crypto enthusiasts believe the drastic price drop is less alarming than it may seem. For these analysts, the crypto markets are highly volatile. Therefore, significant price surges are expected from time to time, and UMA still has the potential to bounce back and even make profits.
Will UMA’s Value Rise By The End of 2022?
There are only two months left until the close of 2022, so UMA can only experience a little price spike, if any. According to multiple predictions, the highest value UMA can have by the end of November 2022 is $2.123. For the last month of the year, UMA’s highest price can scale to $2.173. Although this isn’t a significant price rise, there’s hope that the coin can maintain its value.
Will UMA’s Value Drop By The End of 2022?
It is unlikely that UMA will drop in value for the remaining two months of the year. However, if this turns out to be the case, then the price decline won’t be as significant. At worst, UMA can reach a value of $1.797 in November.
As per predictions, we expect a decline in UMA’s price by the end of December, to about $1.833. This is an estimated 0.0033% drop in value, which isn’t as alarming.
What Average Price Will UMA Maintain in 2022?
Although it is tempting to work with the best or worst-case scenario for UMA’s price, the highest likelihood is that UMA’s price towards the close of 2022 will lean more towards an average of the two extremes.
On average, UMA will likely have a value of $1.943 by the end of November. The coin will also likely close the year at an estimated $2.060.
What is the UMA Price Forecast From Other Analysts?
Many analysts are on the lookout for UMA’s future price performance. A greater number of these professionals believe UMA’s value will rise slowly in the short term and then drastically in the distant future.
One of the main reasons fueling this point of view is that the use of optimistic oracles is more likely to surge in the future. From their technical analysis, analysts believe that as more people turn to decentralized finance (DeFi) and discover more use cases for smart contracts, there will be greater demand for systems that help embed real-life data on the blockchain. This means optimistic oracles like UMA will be the next big deal, which loosely translates to more value for the coin.
However, this is more of a long-term prediction. In the short-term, UMA’s price will increase, but painstakingly slowly. The coin might even experience various drawbacks that will lead to slight price declines once in a while.
Let’s analyze the predictions that various analysts gave for UMA’s performance for the remainder of 2022.
TechNewsLeader BAT Price Forecast
According to TechNewsLeader, UMA will experience a slight price rise during the last two months of 2022. From this analyst’s perspective, the lowest value UMA can have in November and December is $2.28 and $2.33, respectively.
On the high end, TechNewsleader predicts UMA will hit values of $2.48 and $2.60 for the same period. However, on average, the coin can manage between $2.39 and $2.44 between November and December 2022.
DigitalCoinPrice UMA Price Forecast
Using historical data analysis and research, DigitalCoinPrice believes that UMA’s price is set for a slight decrease soon. DigitalCoinPrice estimates that UMA will be worth between $1.52 and $1.45 between November and December.
UMA can only manage $2.09 and $2.03 for a higher value in November and December. However, the coin is likelier to hit its average value, which the analyst sets at $2.04 and $1.60, respectively.
PricePrediction.Net UMA Price Forecast
PricePrediction.Net is one of the crypto analysis expert sites that predicts UMA’s price will drop from where it was in October but rise gradually from November to December. This analysis platform sets UMA’s November price at a low of $1.59, an average of $1.75, or a high of $1.80.
However, in December, PricePrediction.Net estimates that UMA’s price will at least get to $1.72, an average of $1.79, or a high of $1.89. Though this doesn’t seem like much, predicting growth is better than predicting a decline.
UMA Price Prediction 2025
UMA has excellent potential in the distant future. But, in the meantime, the coin will continue to experience slow but steady growth in its value. As people’s use of and reliance on smart contracts and DeFi increases, the demand for optimistic oracles will rise, and so will UMA’s value.
From 2023 to 2025, more people will turn towards smart contracts for their day-to-day activities. For this reason, an optimistic Oracle platform like UMA will get more traffic, and its native token will be used more, increasing its value.
By the end of 2023, UMA’s price prediction shows that the coin will be worth at least $3.320. At most, the coin will cost $4.695; on average, it will be worth $3.783.
As the calendar closes in 2024, UMA will have a minimum value of $4.347, an average value of $4.757, and a maximum value of $5.127.
In 2025, UMA’s price forecast indicates the coin will be worth a minimum of $6.160, a maximum of $7.267, or an average of $6.533.
UMA Price Prediction 2030
During the final half of the decade, UMA will experience a nearly quadruple increase in its values. Because of the advancement of technology by this time, the use of blockchain systems will be more prevalent and accessible. The result will be an influx of people needing to transform off-chain data into on-chain data and an overdependence on platforms like UMA. This will cause a significant surge in the token’s value.
Let’s analyze UMA’s price prediction from 2026–2030.
UMA’s price will hit a whopping $9.380 mark by the close of 2026. On the lower end, the coin will cost between $8.030 and $8.400 on average.
By the end of 2027, the UMA will be worth as much as $13.240. The lowest the coin can go during this year will be $9.397, and it can maintain an average value of $12.250.
Come 2028 and 2029, UMA will be worth at least $15.390 and $22.380, respectively. The coin’s maximum value during this period can soar to $26.297, and $36.693, while its average value hits $23.183 and $33.877.
The last year of the decade will see UMA’s price get to a maximum of $36.693, a minimum of $32.387, or an average of $33.877.
1. Is UMA Crypto a good investment?
UMA Coin is an excellent long-term investment. This is because, in the short term, the coin’s value will rise too slowly for investors to see any significant return on investment.
Also, for the next two or three years, people will still be trying to embrace the technology behind the UMA coin, so the likelihood that the token will perform outstandingly well is lower.
2. How high can UMA go?
Between 2023 and 2025, the UMA coin’s value can go as high as $7.267. This is a price the coin has achieved and surpassed before, so it’s not much of a stretch. However, by 2030, UMA’s value can be as high as $36.693, nearly five times as much.
3. What does UMA coin do?
UMA coin helps facilitate optimistic oracle service on the UMA platform. Optimistic oracles are data feed systems that take off-chain data and store it on the blockchain. To run these services on the UMA platform, one needs to pay fees, which are paid using UMA coin.