SUI faces strong rejection near $3.45 as bearish signals accumulate on the charts. Derivatives data shows indecision, while network TVL and stablecoin market cap rise.
SUI is up almost 2% today, trading at $3.30. However, facing crucial resistance, the prevailing downtrend hints at a prolonged correction back to the $3 psychological level.
SUI Price Analysis
On the 4-hour price chart, SUI shows a bullish failure to overcome the $4.20 resistance level, resulting in an ongoing correction phase. With lower high formations, SUI also forms a local resistance trendline. Last week, SUI bottomed out at the $3.03 support level before re-challenging the local resistance trendline.
However, the bullish action faces additional opposition from the support-turned resistance zone, extending from $3.33 to $3.44 alongside the 50-period EMA at $3.41. With multiple bearish elements filing against the bullish recovery, SUI is likely to take a bearish turnaround.
Supporting the downside chances of 100- and 200-period EMAs closing towards a negative crossover. Meanwhile, the 4-hour RSI line struggles to resurface above the halfway level.
As per the price action analysis, the downfall is likely to test the $3.03 crucial support level. However, a potential 4-hour closing below the support line could test the 50% Fibonacci level at $2.71.
On the flip side, a potential crossing above the 23.60% Fibonacci level at $3.45 will reinstate a bullish trend for SUI. This could result in a price surge to $4.20 resistance level.
SUI Derivatives Reveal Traders Waiting on the Sidelines
As SUI stands at a crucial crossroads, the derivatives data reflects a minor increase in bullish sentiment. Open interest has surged by 1.72% to reach $1.43 billion, reflecting increased inflow in the SUI derivatives.
The 24-hour liquidations show an indecisive trend, with long and short positions nearly balanced at $769K and $749K, respectively.
Hence, derivatives data suggest traders are waiting for SUI to establish a decisive trend before committing.
SUI TVL Recovery Signals Network Growth
According to DeFiLlama, the SUI network’s total value locked (TVL) surged to $1.75 billion after the recent Cetus hack dropped it to $1.57 billion.
Furthermore, the stablecoin market cap on the SUI network has jumped over 8% in the past seven days, reaching $1.10 billion, signaling increased liquidity. Overall, the SUI network maintains a slow but steady growth trend.
Source: https://thecryptobasic.com/2025/06/03/sui-struggles-below-3-45-is-a-drop-to-3-inevitable/?utm_source=rss&utm_medium=rss&utm_campaign=sui-struggles-below-3-45-is-a-drop-to-3-inevitable