Sui has captured the attention of everyone, gaining almost 10% in a week. Trading activity on Sui has increased massively and surprisingly traders are turning bearish on the altcoin.
On-chain analytics platform Coinglass reports that 71% of traders on Binance currently hold short positions, indicating their belief that SUI’s price may drop shortly, while 29% are maintaining long positions.
The news of short positions on Binance points to a bearish market sentiment around SUI, which could lead to increased selling pressure and a drop in SUI’s price.
SUI Price Technical Analysis
At present, SUI is trading at $2.02 with a market cap above $5 billion, according to Coinmarketcap. The recent attention has boosted its volume by 100% as one third of the market cap is being actively traded.
Expert analysis says that SUI is trading near a price point at which it previously experienced a 50% drop. With the high number of short positions on Binance, another major decline may be about to hit.
If SUI is unable to close the daily candle above $2.2, there is a strong likelihood of a 20% decrease, pushing the price to around $1.62. On the flip side, if it holds above $2.2, there is a chance for SUI to reach a new all-time high.
Additionally, the Relative Strength Index (RSI) for SUI is in the overbought zone, indicating that a price correction may occur soon.
At present, SUI is trading near $2.04, reflecting a 2.69% increase over the last 24 hours. During this time, trading volume surged by 112.62%, showing heightened market participation during the recovery phase.
One possible reason for this price surge is SUI’s recent inclusion in Bybit’s Launchpool. Bybit’s Launchpool allows users to stake tokens and earn more SUI or other rewards. SUI’s inclusion breaks this pattern and may be influencing the recent price movement.
Also Read: Is Sui the Next Solana? Why is SUI Price Surging Tremendously?
