Sui (SUI) Price Prediction: Sui Slips Below $3.50 Support Amid $223 Million Cetus Protocol Hack—What’s Next for Sui?

The Sui crypto market is facing a moment of reckoning as the price of the SUI token slipped below a key support level at $3.50, trading at $3.47 at the time of writing.

This move comes amid continued fallout from the $223 million Cetus Protocol hack, one of the largest decentralized finance (DeFi) breaches this year, which has rattled investor confidence and triggered a shift in Sui investor sentiment.

Sui Price Analysis: From Bullish Momentum to Critical Support Loss

The SUI coin had enjoyed a strong rally in recent weeks, briefly touching highs around $4.29 on May 12, backed by increased interest in the Sui DeFi ecosystem, real-world asset tokenization, and institutional involvement. However, the exploit on the Cetus DEX, a core component of the Sui network, marked a significant turning point.

Sui (SUI) was trading at around $3.47, down 1.90% in the last 24 hours at press time. Source: Brave New Coin

According to market data, the SUI price plunged nearly 14% following the exploit, eventually dropping nearly 20% from its monthly peak. The attack not only wiped out liquidity from pools such as SUI/USDC, which lost about $11 million, but also caused the Total Value Locked (TVL) on the network to shrink from $2.13 billion to $1.54 billion in a matter of days.

While SUI briefly bounced back above $3.50 support, it has since slipped again, challenging the bullish narrative that had dominated Sui crypto news updates earlier in May.

Sui Technical Analysis: Mixed Signals in the Charts

The Sui chart pattern now presents a complex picture. A bearish engulfing candle followed by a long-tailed Doji on the daily chart hinted at indecision around the SUI support level at $3.50. However, the recent dip below that level signals a breakdown in short-term momentum.

A potential falling wedge pattern in Sui was invalidated after a false breakout above the $4.0040 resistance, as the Sui price dropped to the $3.5868 invalidation level. Source: EkyFabyanto on TradingView

Momentum indicators offer mixed signals. The Relative Strength Index (RSI) hovers near the neutral 50 mark, while the Moving Average Convergence Divergence (MACD) has begun forming bearish histograms. Despite this, the 50-, 100-, and 200-day EMAs continue to flash long-term buy signals, suggesting that the broader SUI bullish scenario may still be intact if recovery efforts gain traction.

Should the price continue its decline, analysts highlight the 200-day EMA at $3.01 as the next critical SUI support level. On the upside, the $4.07 mark—previously a key support—now stands as the immediate SUI resistance level that bulls must conquer to reestablish positive momentum.

Derivatives Market Hints at Growing Speculative Interest

In the derivatives arena, activity has intensified. Coinglass data shows that Sui trading volume in derivatives rose by 40% to $3.57 billion, suggesting a surge in speculative interest, possibly driven by volatility rather than directional conviction.

Open interest, however, fell by nearly 3% to $1.77 billion, indicating that some traders may be closing positions or taking profits after recent market swings. Still, the OI-weighted funding rate rose to 0.0124%, a sign of bullish intent, and short liquidations outpaced longs, showing that some market participants may be positioning for a rebound.

Sui Network Recovery Underway Despite Criticism

Despite the hack’s shockwave, certain Sui network fundamentals are recovering. As of Monday, the Sui TVL had rebounded to $1.68 billion, and the DEX volume rose from $178 million on Saturday to nearly $272 million. The stablecoin supply on Sui also remains strong, with market capitalization staying above $1 billion, signaling robust on-chain liquidity.

Cetus Protocol suffered a $223 million exploit—the largest on the Sui network—after an attacker exploited a critical math vulnerability in its smart contract. Source: Abhi via X

However, the network’s emergency response has sparked controversy. While Sui validators successfully froze $162 million of the stolen funds by blacklisting the attacker’s wallet, critics argue that such centralized control contradicts the ethos of decentralization in Layer 1 blockchain systems. Some observers have raised concerns about the extent of influence held by a small group of validators and insiders, a debate that could impact Sui investor sentiment in the longer term.

SUI Token Forecast: Is a Breakout or Breakdown Next?

Looking ahead, SUI token price targets remain speculative. Some analysts maintain that if accumulation continues and the market stabilizes, $4.20 could be back on the radar. However, that scenario hinges on regaining support levels, improving sentiment, and avoiding further manipulation traps.

Sui (SUI) is gaining strong momentum and is on track to close above $4.12, potentially paving the way toward its all-time high of $5.40. Source: CaptainMilo on TradingView

“The price is now in a high-liquidity zone,” said one market watcher. “Expect fakeouts in both directions. The real test will be whether smart money drives a breakout above resistance or lets the consolidation drag on.”

In short, the current setup presents a textbook SUI trend reversal or correction scenario. Whether Sui manages a decisive SUI price breakout or faces deeper correction hinges on a delicate mix of technical recovery, investor confidence, and how the ecosystem addresses questions of trust and decentralization moving forward.

Final Thoughts

The Sui crypto has shown resilience before, but with the SUI price now below $3.50 and market uncertainty lingering post-hack, traders face a pivotal moment. Eyes are now on whether bulls can defend lower support zones and whether Sui can restore the momentum needed to challenge $4 resistance again. For now, caution and close chart monitoring remain the order of the day in this evolving Sui market outlook.