SUI Token Reaches $4.96 Before 30% Retracement and Recovery
The native token of the decentralized smart contract platform Sui (SUI) reached an all-time high of $4.96 this week, driven by a bullish trend in the cryptocurrency market. However, SUI faced a significant retracement on Friday, dropping nearly 30% to $3.49, before rebounding to approximately $4.55, reflecting a 12.8% increase from its weekly low and remaining 8.9% below its record price.
SUI Surges Amid Market Volatility
In contrast, major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) have seen downward corrections following a recent US Federal Reserve decision on interest rates. The Fed's dovish stance has negatively affected risk assets, contributing to a bearish sentiment that led Bitcoin to retrace almost 10% from its peak of $108,000.
SUI's volatility resulted in nearly $14 million in liquidations across long and short positions on centralized exchanges, with Binance reporting the highest liquidation rates in the past 24 hours, according to Coinalyze data.
Recent analysis shows that Sui ranks third in net inflows over the past three months, with close to $1 billion entering the network, indicating growing investor interest, further supported by a partnership with Phantom wallet. Crypto analyst Route 2 FI noted that SUI's bullish reversal indicates strong investor sentiment, culminating in the token’s peak at the beginning of the week.
Analyst Targets $6 As Market Momentum Builds
Michael van de Poppe highlighted substantial daily candle movements in SUI, noting that the price dipped into support before rebounding. He expressed optimism for continued upward movement, suggesting a target of $6. The recent surge in SUI’s price is expected to draw Bitcoin liquidity into its ecosystem, enhancing the token’s bullish prospects. Technical analyst Rekt Capital pointed out that SUI has effectively executed a post-breakout retest from its re-accumulation range.
Rekt also indicated that partnerships with Babylon Labs and Lombard Finance would facilitate Bitcoin liquidity integration, significantly benefiting the Sui platform.
Growing interest in SUI raises questions about its potential performance in 2025. Crypto researcher Eyezenhour noted that while there are many reasons for optimism regarding SUI’s future, attention remains critical. The Sui Network has begun attracting institutional investors, attributed to its advanced technology, upcoming integrations with Phantom and Backpack, and a strong executive team. This trend is anticipated to continue throughout the current bullish cycle and into 2025, bolstering positive sentiment for the altcoin as the year concludes.
Featured image from DALL-E, chart from TradingView.com