SUI is on the verge of entering a crucial smart money zone, where significant price movements could be imminent. If the price manages to stay above $2, a breakout could be triggered, paving the way for a substantial upward trend.
SUI Poised for Major Market Entry
Renowned crypto analyst Crypto Patel recently pointed out that SUI is currently at a stage where institutional investors typically enter the market. The long-term ascending channel on the weekly chart remains intact, with the price hovering near a liquidity grab close to trendline support, indicating a potential accumulation phase.
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The weekly chart also reveals strong demand and a bullish order block between $1.15 and $0.80, suggesting that the market structure could turn highly bullish if SUI breaks through higher-timeframe resistance. The current compression phase sets the stage for a breakout, signaling a potential expansion in the market.
Crypto Patel emphasized that institutional investors tend to enter the market during compression phases, while retail traders often join after the breakout confirmation. Projected targets for SUI in case of a breakout are $5, $10, and $20, underlining the potential magnitude of the upcoming trend. As Crypto Patel aptly puts it, “This is how significant trends are established, gradually, and then suddenly.”
Current Price Around $1.28
Altcoinpedia noted that SUI is currently trading near $1.28, serving as a pivotal point for short-term market analysis. The price structure indicates consolidation above support at $1.50, with resistance at $2.00, hinting at an impending decisive move.
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The price hovering within this range suggests that a sustained volume surge above $2.00 could propel the next phase of the trend towards $2.50. Conversely, failure to breach this resistance, especially with decreasing volume, raises the likelihood of a retest of support at $1.50. A breakdown below that level could lead to a further decline towards $1.20.
The current momentum indicates a neutral state, reflecting market indecision. A bullish scenario would entail a clean breakout above $2.00, confirmed by momentum indicators, signaling a continuation of the trend. On the downside, a breach of support with substantial volume could accelerate selling pressure, confirming a bearish outlook.
Traders are advised to use key range boundaries for entry and exit points, managing risks around support and resistance levels. For long-term investors, waiting for a definitive breakout from the current consolidation is advisable, as it would provide a clearer signal of the trend direction and reduce the risk of false moves within the neutral range.
Featured image from Medium, chart from Tradingview.com