SUI price is drawing fresh attention after falling into a major support zone that previously acted as a strong demand area. According to market watcher BitGuru, the SUI price has reached a key level after a long bearish trend.
This is very significant since the market will be on the lookout for possible signs of reversal. At this point, the coin is already testing out a price region that has seen previous buying activity from bulls.
SUI Price Reaches Critical Support After Extended Decline
Through chart analysis, the market can be said to be undergoing a complete cycle. This cycle began with an extended consolidation stage followed by a powerful bullish breakout.
During the initial stages, there was very little movement in price while buyers were gradually accumulating sellers’ positions.
Source: X
After a good rally followed by some consolidation, the bulls lost steam, and the trend began moving downwards, which was characterized by lower lows and lower highs, indicating dominance on the part of the bears.
This decline took place within a downtrending channel, suggesting that there is a gradual distribution of shares as opposed to a panic sell-off.
There is currently support for the SUI price at $0.71, where buyers need to see either higher lows, increased volume, bullish candles, or even a breakout of the upper channel boundary.
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Market Cap Structure Points to Larger Recovery Scenario
Analyst Vuori Trading’s analysis highlights that there is a bigger picture for Sui apart from support in the short-term charts. From the chart, the Sui price is currently at the point where previous declines were halted by fresh buying interest.
One of the important areas of support is around $2.17 billion in market cap. The prediction indicates that we may be revisiting this level before a potential bounce occurs. If the buyers manage to defend this level, then the next potential resistance levels would be around $7.85 billion, $11.3 billion, and $17 billion.
Source: X
Long-Term Targets Extend Toward $71 Billion
In terms of the long-term outlook, increased objectives would be expected if the positive trend continues. The Fibonacci extension levels provide targets for the market cap at $26.16 billion and $40.97 billion.
Under favorable conditions during a prolonged bullish rally, the Sui price might climb to $72.75 billion, thus becoming one of the most prominent blockchains in the world. On the other hand, the momentum oscillators are still close to the lowest levels due to the recent pullback.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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