SUI faced market uncertainty, falling 13.5%, and a significant decline in Open Interest highlights the decline in investor confidence.
The RSI remains above neutral, indicating potential for a recovery, but mixed market sentiment and resistance levels are holding back a clear move.
A break above $3.94 could signal a rally towards the SUI’s historic high of $4.49 and reverse the current downtrend.
SUI has lost 13.5%, which has led to market uncertainty. However, if the major support levels are regained, a recovery towards $4.49 is likely.
Market sentiment around SUI has weakened significantly, reflected in a large drop in Open Interest. Open interest in SUI futures decreased by $248 million, from $923 million to $675 million.
This sharp decline indicates that many investors are closing their positions and the uncertainty surrounding SUI’s price movements is increasing. Decreasing investor confidence could increase the likelihood of further declines.
Technical indicators suggest that SUI may soon experience a consolidation period. Investors are cautious due to uncertainty despite the belief that SUI has a strong recovery potential. The lack of new capital inflows further complicates the market situation.
Despite the bearish trend, some indicators still show that there is bullish momentum for SUI. The Relative Strength Index (RSI) remains above neutral, suggesting that the asset is not oversold and there is still some buying interest. However, mixed market sentiment is holding back any significant price action.
While the RSI is indicating a possibility of a recovery if buying pressure increases, failure to break the resistance levels could put pressure on the price of the SUI, leading to sideways movement or further correction. Currently in limbo, the SUI is stuck between support and resistance levels. Traders are waiting for price action to become more stable and for a clear trend to emerge.
Having fallen 13.5% in the last 48 hours, SUI is currently trading at $3.65, which is not far from its all-time high of $4.49. The cryptocurrency has the potential to consolidate above the major support level of $3.20. This consolidation process could continue as traders look for clearer market signals. If SUI manages to reclaim the support level of $3.94, the possibility of a rally to the historical high of $4.49 increases. This could invalidate the bearish view and create fresh bullish expectations. Investors should watch this level closely; a successful bounce could signal renewed upward momentum.
