SUI (SUI) is currently showing signs of a potential rebound as its price climbs above the $2.80 mark, sparking optimism among traders. After a period of downside pressure, the cryptocurrency is making efforts to reclaim lost ground, indicating that bullish momentum may be on the rise. This recovery is happening at a crucial time, with the need to hold support above this level to pave the way for further upside movement.
The recent rally has brought attention to whether SUI is gearing up for a sustained recovery or if this surge is just a short-lived reaction before another downward move. Despite the optimism, the broader market remains highly volatile, and SUI still faces key resistance levels that could determine the strength of this uptrend.
SUI’s price faced rejection after attempting to push higher, suggesting potential weakness in the current recovery attempt. Despite climbing to the 50% Fibonacci retracement level at $3.079, the cryptocurrency struggled to maintain its upward momentum and encountered resistance, hindering further gains. This rejection has led to a fresh decline, indicating that sellers are defending crucial levels, potentially resulting in a deeper retracement if support is not found nearby.
Additionally, SUI is still struggling to gain bullish momentum as it trades below the 100-day Simple Moving Average (SMA) and faces pressure from a key bearish trendline. This indicates that sellers are still in control, impeding a breakout to higher levels. A decisive move above these resistance points could signal a trend reversal, but failure to do so may lead to further downside pressure.
From a technical standpoint, the recent recovery above $2.8 is a positive development for SUI. The Moving Average Convergence Divergence (MACD) shows early signs of a bullish crossover, suggesting potential upside if momentum continues. However, challenges persist with the $3.5 level acting as a significant resistance zone, hinting at renewed selling pressure if not breached. While trading volumes are improving, they are still below peak levels.
In conclusion, SUI must overcome major hurdles such as the 100-day SMA and the bearish trendline to confirm a meaningful recovery. A breakthrough above these levels, accompanied by strong volume, could lead to higher price targets like $3.0 and beyond. Conversely, a failure to hold above $2.8 could result in a retest of lower support levels, reigniting the downtrend.