SUI is on a downtrend this week as its price has declined by 14 percent in the last seven days. The token is currently trading at $3.12, and analysts are interested because they think that a further decline will be a good buying opportunity.
Market analyst Ali Charts says that $3 appears as a good zone to buy the dip and could even go up to 3.80 and above by reversing the trend.
Price Action Under Pressure
The market cap of SUI is currently estimated at $11 billion, making it one of the most significant altcoins in the market, despite its recent decline. Over the past 24 hours, the daily aggregate turnover has significantly decreased, falling by 49.16% to $521.39 million.
The drop coincides with the general deterioration in the market that has strained key altcoins. In the case of Sui, it is increasingly important to hold near-term support levels regarding its price prospects.
Key Levels to Watch For SUI
Technically SUI is held at $3.40 resistance, and this barrier is under close observation as the first big obstacle that has to be overcome before the trend can turn to the positive side. Beyond that, a rise to a point of $3.80 will be consistent with the up-bullish view expressed by analysts.
The support is strong at $3, a psychological point that most traders are watching to see whether this rally will accumulate. A loss in this area would, however, add to the chances of additional downside in the short run.
Momentum Signals More Downward Trend
The Relative Strength Index (RSI) of Sui stands at 38 on the daily chart, indicating weak moving momentum and leaving the token looking at the oversold situation.
On the one hand, this is an indication of weak strength in the short term; however, it also creates an opportunity of a potential recovery in the event of a recovery in the buying force.
As the trading activity slows down and the price action condenses around the support level, the market watchers are closely monitoring the ability of $SUI to maintain the support level that is the $3. A recovery could be preceded by a rebound out of this zone, and a breakdown could further prolong the correction.
