SUI Coin Experiences Decline
SUI coin has experienced a 7.07% decline over the past month, trading at $3.72. This downturn followed a substantial 67.90% increase in the previous month, leaving investors disappointed. Despite strong developments like the launch of the Axelar Bridge, Phantom Wallet integration, BinanceAlpha support, an increase in Total Locked Value (TVL), and the “Great Sui Odyssey” event on May 17th, the crucial question arises: is this a retracement or a pause before reaching a new zenith?
SUI Coin Faces a Liquidation Wave
The Kingfisher’s analysis of the SUI coin’s liquidation heat map reveals a cluster of long position liquidations concentrated between $3.90 and $3.95, particularly around $3.933. The analyst noted that as the altcoin‘s price fell below this level, leveraged long positions were liquidated, increasing the selling pressure.
Altcoin SUI Heat Map
This liquidation area acted like a black hole, pulling down the price and intensifying the decline. Moreover, the heat map indicates fewer short position liquidations above the current price, warning of limited momentum for a short squeeze capable of pushing the price upwards in the short term. In other words, there is little ammunition for sudden upward movements.
SUI Coin Price Analysis and Key Levels
Currently, the price of SUI coin hovers slightly above the critical support zone set between $3.73 and $3.85. If SUI decisively drops below and closes lower in this range, a steeper decline could be triggered, particularly as the pressure from liquidation on long positions persists. The trading volume also acts as an indicator contributing to the downturn. According to CoinMarketCap, trading volume has decreased by 24.09% over the last 24 hours. Such a drop in volume is often interpreted as a precursor to increased volatility.
For upward movement, the first significant resistance emerges at the $4.02 level. To signal more robust optimism, the price needs to close daily above the $4.35 level. Such a closure could confirm the continuation of the uptrend and set SUI on a path to form a new peak above its current all-time high of $5.35.
Given the current market conditions, short-term investors are advised to assess risks carefully and closely monitor liquidation levels and support zones.