Sui Token Shows 30% Increase in Daily Trading Volume
Sui [SUI] token has recently experienced a 30% increase in daily trading volume, as reported by CoinMarketCap. The altcoin has successfully surpassed the short-term resistance level at $3.5 and is now setting its sights on the $4 resistance mark.
Technical analysis indicates that while SUI has displayed a bullish trend in the long-term, the lack of significant buying pressure in recent days may hinder its ability to break past the $4 resistance. However, a positive sentiment for Bitcoin [BTC] could potentially boost the outlook for Sui.
The chart analysis reveals that SUI has maintained a bullish swing structure since late 2024, with a deep retracement from January to April 2024 failing to breach the $1.6 swing low. As of now, the local resistance at $4.44 presents a formidable barrier for SUI, although the momentum following the move past $3.5 suggests a favorable trend for the bulls.
Despite the positive momentum, the trading volume over the past two weeks has been below average, with the On-Balance Volume (OBV) indicator only marginally higher than the lows recorded in early September. To instill greater confidence among investors and traders, an increase in trading volume is necessary.
Looking ahead, the $4 resistance level poses a significant challenge for SUI. On the 6-hour timeframe, the Fixed Range Volume Profile indicates that Sui bulls are driving the price towards the Value Area High at $4. However, given the psychological significance of the $4 level and the subdued buying volume in September, a breakout may take some time to materialize.
Traders should be prepared for a potential rejection from the $4 supply zone, which could lead to a retracement towards the $3.5 support level, identified as the Point of Control. It is important to note that the information presented here is not intended as financial or investment advice and solely represents the writer’s opinion.
In conclusion, SUI’s recent surge in trading volume and bullish structure indicate potential for further price appreciation. However, the $4 resistance level presents a key obstacle that may require sustained buying pressure to overcome. Traders should closely monitor price movements and be prepared for possible retracements in the short term.