Sui (SUI) Price Continues to Hold Above Its Key Support Zone Despite the Recent Token Unlock

Sui (SUI) is currently trading at $2.31, hovering above the key support zone between $2.10 – $2.20, despite the recent token unlock on April 1.

The price of Sui (SUI) has recently come under pressure following a recent token unlock on April 1, leading to a decline from its recent highs of around $2.50.

Despite this setback, the cryptocurrency is currently holding above a key support zone that could be crucial for determining the next move in the market.

SUI is currently trading at $2.31, comfortably above the support zone between $2.10 – $2.20, which it had tested on March 11 after setting a low of around $2 this year.

The support level is significant as it had prevented further downside momentum following a downturn that saw SUI crash from its all-time high of $5.35 on January 6 to lows of around $2 this year.

However, the support levels may come into play if the recent selling pressure continues to weigh on the price of SUI.

The Relative Strength Index (RSI) is currently at 45.09, indicating that the momentum is weak but slowly improving.

The RSI-based Moving Average (MA) is at 46.35, showing that the strength of buyers is slowly increasing but it’s still below the 50 neutral mark, which means that bulls aren’t in control yet.

The 20-day Exponential Moving Average (EMA) is acting as immediate resistance at 2.41, which SUI attempted to break in late March and even briefly touched the 50-day Simple Moving Average (SMA) at 2.67, but faced rejection at that level.

The 20-day EMA is an important level to watch as a decisive break and close above this point could pave the way for a sustained recovery in the market.

The 50-day SMA may pose the next hurdle at 2.67, but a move above this point could see the recovery accelerate quickly.

No major spike in volume is currently evident, meaning that the market remains largely undecided and isn't massively favouring either buyers or sellers.

This lack of volume could be a factor in the recent price action, with the price struggling to break out of key resistance zones despite testing them on several occasions.

Despite the recent struggles, the chart is looking mildly bullish, especially considering that SUI has been holding above its key support zone between $2.10 – $2.20 for several weeks now.

The fact that the price hasn't set a new lower low since March 11 and has tested the 20-day EMA multiple times shows that buyers are attempting to challenge the short-term resistance.

If the price continues to hold the current support and breaks out above the next resistance zone at $2.50 – $2.55, it could lead to a trend reversal, with the next major resistance at $2.67 (50-day SMA).

This breakout could be triggered by a decisive move above the 20-day EMA at 2.41, which would likely be fueled by a surge in buying pressure.

Alternatively, if the price drops below the current support zone without testing the lows of this year, it could indicate a continuation of the downtrend.

This scenario would likely arise if the recent selling overwhelms the support levels, leading to a breakdown in the short term.

In the event of this scenario unfolding, the next support level to watch would be the low of this year at around $2, which could provide some cushion if the selling persists.

However, if the support levels break and the selling continues, it could open the door for a more significant decline, possibly towards the next major Fib level at around $1.44 (0.618 Fib).

This scenario is less likely but could come into play if the bearish momentum increases and the support levels are unable to hold.

Overall, the price of SUI is showing signs of support at a crucial juncture, but it remains to be seen whether this will be enough to spark a recovery or if the recent selling pressure will continue to drive the price lower.