SUI Surges 5% on Bitcoin Integration as Trading Volume Hits $615M, But Technical Signals Remain Mixed

Following its announcement of Bitcoin compatibility via Sui Bridge, Sui (SUI) has seen amazing trading activity and price movement, therefore representing a major milestone for the Layer-1 blockchain network.

Layer-1 blockchain network Sui (SUI) has seen a surge in trading activity and price following its announcement of Bitcoin compatibility through Sui Bridge.

The network now ranks sixth in terms of blockchain size based on daily trading volume, with $615 million, outpacing established networks like Avalanche and Polygon.

This integration, which enables bundled Bitcoin transfers from Ethereum, has sparked a strong market response. The total value locked (TVL) on the Sui network has rebounded to pre-market crash levels, exceeding $600 million. This trend, coupled with a broader market recovery, has fueled a 15% increase in SUI token prices.

Despite recent market challenges, including a 70% decline from all-time highs, SUI has shown remarkable resilience.

SUI/USD Technical Analysis

Even with recent gains, SUI's technical indicators present a mixed picture. The token's price has risen by 5.4% in the last 24 hours, now trading at around $3.61, while trading volume has decreased by 53%. A technical analysis reveals the following:

SUI's Relative Strength Index (RSI) is at 49.60, indicating a neutral market mood.

The Bollinger Bands are converging, suggesting a decrease in volatility.

The token is trading above the Ichimoku Cloud, indicating bullish momentum.

Surging Institutional Interest

On-chain data reveals an institutional interest in SUI, with exchanges showing outflows of over $45 million worth of SUI tokens in the last 48 hours. Binance's SUIUSDT Long/Short ratio is 1.80, indicating that 64% of top traders have long positions, reflecting a positive trader sentiment.

Some experts, like Jason Pizzino, highlight potential downside risks, with lower support at $1.60 or less if support around $2 fails to hold. Others emphasize strong fundamentals and increasing adoption as drivers of potential upside.

SUI's immediate challenge is to cross the resistance at $4.20, with potential targets of $5 if successful.