Whale’s $20M SUI Position Near Liquidation as Price Tumbles

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During the recent plunge in SUI prices, a large investor (whale) could potentially see their $20M worth of holdings liquidated, leading to a tense scenario. This whale had wagered on the direction of this altcoin’s price, but an unforeseen slide in its value has left their crypto investment crumbling. Let’s delve into the current state of Sui tokens and understand how it can trigger significant liquidations.

SUI Price Downtrend Risks $20M Liquidation For Crypto Whale

If the price of SUI tokens drops to $4.56, it will trigger a liquidation of around $20 million for a significant cryptocurrency investor, who owns approximately 4.1 million SUI (equivalent to $19.2 million) and 100,000sSUI ($470,000). Data from Lookonchain indicates that this whale has deposited roughly $20 million in assets onto the decentralized lending platform Suilend, earning them $14.4 million in stablecoins as a loan. By doing so, this crypto investor is demonstrating confidence in the token’s potential for further growth by placing a bet on it.

 

Consequently, today’s market downturn caused the SUI price to decrease by 10%, potentially forcing a crypto investor (referred to as a ‘whale’) to sell off a position worth millions. This selling pressure, coupled with the need for the whale to repay borrowed stablecoins, could trigger a chain reaction leading to additional drops in SUI’s price. The immediate future of Sui hangs in the balance, as its current price at $4.56 may influence further declines for this altcoin.

SUI Price Prediction: Will It Recover or Crash Further?

The price of SUI hit $5.35 two days back due to increased investor optimism and high open interest. However, the surge didn’t last long, and it plummeted by 15%, now trading at $4.59. This steep drop may lead to a large-scale investor losing over a million dollars. On a broader scale, SUI still appears slightly bullish, according to crypto analyst Satoshi, who predicts an upward trend. However, the current price of SUI is near the upper limit of this predicted channel. If it encounters resistance at this level, the price could drop even more.

As a crypto investor, I’m optimistic about the upward trend of the Sui token’s price. This upward channel appears nearly perfect, with the current price pushing against diagonal resistance. If we manage to break through the $5.50 mark, it could pave the way for even more growth.

Bottom Line

Following two days of reaching an all-time high (ATH), there’s a possibility that Sui tokens may experience a significant decrease in value due to a potential $20 million liquidation. As the price of SUI struggles to exceed its current levels within the last 24 hours, this liquidation is expected to occur when the token reaches approximately $4.56. This event could not only affect Sui but also put pressure on the broader crypto market to sell off. Nevertheless, some analysts remain optimistic about a bullish future for this cryptocurrency, given its upward trend.

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2025-01-08 16:44