The Sui (SUI) cryptocurrency is currently trading near $3.84, marking a 1.38% gain in the last 24 hours. However, technical analysis reveals a mixed outlook for SUI's price in the short term. A TD Sequential sell signal on the 3-day chart indicates a potential pullback towards the $3.00-$3.50 support region. Despite this, the broader sentiment remains bullish, with long-term price targets ranging from $5 to $20 if the key support level holds.
One of the most significant positive developments for SUI is the rapid expansion of the stablecoin market on its blockchain. The supply of stablecoins such as USDT, USDC, FDUSD, and USDY on the Sui network has surged over 218% in the last six months, surpassing the $1 billion mark. This growth highlights increased adoption and confidence in Sui's decentralized finance (DeFi) ecosystem and scalability.
Technical indicators present a complex picture: the Relative Strength Index (RSI) is at 41.47 (weak bullish), Moving Average Convergence Divergence (MACD) remains bearish, and price is near the lower Bollinger Band, suggesting possible undervaluation but no guarantee of an immediate reversal. The Bollinger Band squeeze hints at low volatility before a significant price movement in either direction.
Key resistance levels to observe include $4.20, $4.50, and $4.80. Breaking above $4.80 could trigger strong buying momentum, potentially pushing SUI towards the $10 mark. Analysts also highlight the formation of ascending triangle patterns, which often precede upward price moves. The long/short ratio data shows a slight tilt towards short positions (52.19%), indicating some traders expect a short-term dip, but overall market optimism exists due to the expanding DeFi capabilities, including integrations like BitVM and the upcoming Peg-BTC (YBTC) launch on Sui.
In summary, while a short-term correction to around $3.00-$3.50 seems likely, the long-term outlook for SUI remains positive. If it maintains support and surpasses key resistance points, a significant rally towards $10 or even $20 could unfold in the coming weeks.