SUI’s price faced challenges below the $1 resistance but has recently managed to break through. However, technical indicators now point to a potential upcoming price correction. Crucial support levels are recognized at $1.02 and $0.94.
At the end of December and the beginning of January, the price of Sui (SUI) was stuck below the $1 level. However, in the last four days of trading, the bulls successfully broke through this resistance. When we look at the technical analysis of the token, it shows that the overall trend is very positive. But, after these recent increases, the indicators are hinting that the price might go down soon.
SUI Price Overview: Indicators, Trends, and Key Levels
At the time of this writing, the SUI price stands at $1.40, marking an 8% surge within 24 hours. A glance at the daily chart reveals a breakthrough past the $1.245 resistance, present since May 2023, instilling investor confidence and suggesting an upward trend.
Accompanying this surge is the On-Balance Volume (OBV) indicator, indicating a robust upward trend over the last six weeks. However, caution is warranted as the Relative Strength Index (RSI) has surpassed the 68 level, signaling potential overbuying pressure in the altcoin. While not a definite indicator of a pullback, it serves as a cautionary signal for market conditions and the possibility of a price retracement.
Examining Fibonacci levels, crucial support exists at $1.02 and $0.94, with the latter holding significance as a robust support zone dating back to one month before June 2023. Despite being an older support level, the psychologically important $1 mark remains vital for bullish defense in most cryptocurrencies.
SUI Market Sentiment and Indicators: Caution Amidst Decline Signs
In the past 24 hours, there has been a subtle indication of decline in SUI’s market sentiment. The Open Interest rate slipped from $185 million on January 13 to $157.4 million within the next 24 hours. Despite the price surpassing $1.4, futures traders seem to be adopting a cautious approach, waiting for the next market entry level.
Analyzing the Spot CVD, after a price increase starting on January 11, there was a period of flatness. However, recent transactions revealed a renewed upward movement in the price. According to Spot CVD, the equilibrium between buyers and sellers was disturbed. If another decline occurs, there is a possibility that the balance may tilt in favor of sellers, potentially resulting in a price drop.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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