Sui Price Analysis: Key Factors Affecting Sui’s Performance
Sui price is currently under pressure, experiencing a sharp pullback to $3.40, marking a 3.91% decrease in the past 24 hours. The token’s market cap is at $11.94 billion, with a 24-hour trading volume of $1.62 billion, reflecting a 10.5% decrease. Sui is now more than 36% below its all-time high of $5.35, as traders assess weakening technical momentum and softening ecosystem data.
On-chain Performance:
According to Messari, Sui’s on-chain performance has shown signs of cooling in recent weeks. The average daily decentralized exchange (DEX) volume on Sui increased by 21% quarter-on-quarter to $368 million. However, growth was uneven across different platforms, with Momentum experiencing an 8,594% surge and FlowX Finance seeing a 1,548% increase. The largest DEX, Cetus, remained flat at $170.7 million, indicating consolidation at the top.
Additionally, the total value locked (TVL) dropped by 11% to $3.4 billion in the past week, signaling reduced user engagement. On the derivatives side, Sui futures open interest plummeted by 31% from $2.66 billion in late July to $1.84 billion. Long liquidations amounted to $5.64 million on August 20, suggesting a decrease in trader confidence.
Technical Analysis:
From a technical standpoint, Sui is currently facing pressure after breaking below its 50-day moving average at $3.69 and pivot point at $3.46. The MACD histogram at -0.0293 confirms the presence of persistent bearish momentum.
The immediate support for Sui price is around $3.32, with a more critical level at $3.27. A daily close below $3.27 could potentially lead to a further 10-15% decline, targeting the $2.90-$3.00 range.
Resistance levels for Sui are at $3.52, followed by $3.69 and $4.07. The relative strength index (RSI) near 41 suggests that Sui is approaching oversold territory, but buyers have yet to mount a strong defense.
FAQs:
1. Why is Sui price down today?
Sui’s price decline can be attributed to falling TVL, reduced futures open interest, and significant long liquidations.
2. What key levels should I watch for Sui?
Support levels to monitor include $3.32 and $3.27, while resistance levels are at $3.52, $3.69, and $4.07.
3. Could Sui rebound soon?
Despite the oversold conditions indicated by the RSI, a sustained close above $3.52 is required to confirm the strength of a potential rebound.
In conclusion, Sui’s performance is currently under pressure, with various on-chain and technical factors influencing its price dynamics. Traders and investors are advised to closely monitor key support and resistance levels to make informed decisions in the volatile market environment.