Sui Price Gears Up for $2 Breakout as TVL Edges Closer to $1 Billion

by

As a seasoned analyst with over two decades of experience in the dynamic world of cryptocurrencies, I have witnessed numerous bull runs and bear markets. The current trajectory of SUI is particularly intriguing. While the 3.2% dip during the Monday trading session might seem concerning to some, it’s a healthy retracement following a three-week rally. This pullback, amid rising TVL, suggests a suitable opportunity for a long rally.

As a researcher studying the cryptocurrency market, I observed a 3.2% dip in SUI, the native crypto of the Sui network, during yesterday’s trading session. This downward trend aligns with the broader market’s temporary pullback, which follows a three-week rally. However, this short-term correction, happening amidst rising Total Value Locked (TVL), suggests an opportune moment for potential long-term gains.

SUI Price Eyes $2 Breakout as TVL Nears $1 Billion Milestone

Thus far in September, SUI has outshone many prominent altcoins by experiencing a steep upward trend from $0.756 to $1.68 – a 122% increase. This impressive ascent can be linked to several factors, including the launch of the Grayscale trust fund, integration with USDC, and significant collaborations.

Furthermore, it’s worth noting that the total value locked (TVL) in SUI saw a substantial rise, suggesting growing trust from investors and expanding use of its decentralized applications (dApps). As per Defi Llama, the TVL of SUI has climbed to $948 million, moving steadily towards the $1 billion threshold.

In addition, well-known cryptocurrency analyst Martinez Ali has pointed out that the current price movement of SUI is similar to Sonala’s before its bull run in 2021. The comparison of charts suggests that the SUI coin might experience a strong upward trend, potentially reaching beyond $2.

$SUI looks like #Solana back in 2021 before the bull run!
— Ali (@ali_charts) September 22, 2024

Overbought Indicator signals 15% Pullback for SUI Coin

In contrast to the general market contraction in September, the value of SUI doubled. The surge in its price has propelled it beyond both the swiftly moving 20-day and 50-day Exponential Moving Averages (EMA), suggesting a period of instability since markets seldom sustain a single direction for long.

In simpler terms, a different technical indicator shows a similar condition of being overbought, which is also indicated by an increase in the ADX to 44%. This implies that the buying force might be nearing its limit soon.

In other words, if the price of SUI doesn’t manage to surpass the resistance at $1.72, it might initiate a corrective phase following the rally, potentially causing the value to drop by 15% to reach the support level at $1.44. A break below this support could intensify the selling pressure and potentially drive the altcoin down to $1.11.

Sui Price Gears Up for $2 Breakout as TVL Edges Closer to $1 Billion

Instead, if the SUI price reaches $1.44, the regained bullish energy might spark a surge towards $2.17, which represents a possible 28% increase from its current value.

Read More

2024-09-25 22:57