- SUI has shown strong growth, with a positive technical pattern signaling a potential bullish trend.
- With a rise in stablecoin inflows and a threefold increase in DAUs, SUI is gaining market traction.
- The technical outlook shows SUI may reach $6.08, pending support levels holding and a continued uptrend.
SUI, an altcoin in crypto, has experienced strong growth as its price increased to $3.86. As Bitcoin continues its rise, altcoins such as SUI are appearing to have promising bullish trends. Its growing network, along with a positive technical pattern, indicates that the altcoin may reach a new peak soon.
Source: TradingView
The SUI network has reached several important steps, helping it gain a stronger role in the market. Volume on decentralized exchanges has surged as people become more involved in the market. SUI is also number one in terms of stablecoin inflows, suggesting that money is coming into the network. The most important thing is that DAUs on SUI have multiplied three times in the past three months, indicating rising usage on the network.
SUI’s Bullish Momentum
The price chart for the coin is indicating a solid uptrend. During the span from April 7 to May 21, the altcoin rose from $1.91 to $3.86, a rise of 76%. The breaking out of the falling wedge preceded higher lows forming above a rising channel, showing that the market could rise even more.
Important signs are helping to sustain the bullish pattern in the token. The latest crossover between the 50-day and 200-day exponential moving averages supports the belief that the market is headed higher. Also, the 50-day and 100-day EMAs currently intersecting from beneath add support to the continuing rise in price. Another sign of an upward move comes from the RSI, which is in bullish divergence, while the price made a new low.
Source: TradingView
Resistance Levels and Risks to Watch
At the 38.20% Fibonacci level, the current resistance for the token is found at $4.6335. This is expected to provide a 20% gain if the trend remains the same. As things progress, the token may rise to hit a new all-time high at $6.08, which corresponds to the first 50% retracement. Achieving this level would be important if the wider market is recovering.
Even so, some considerations about risks cannot be ignored. If the support level at the lower end of the rising channel breaks, cryptocurrency may head back towards the 50-day EMA at $3.31. Still, the coin looks set for success, as its network is growing strongly and various technical signs point to a bright future for the coin.
Read More: Ethereum Stuck in Range: Will It Break $2,800 or Fall to $1,500?
