• SUI’s DEX volume surged 89.88%, hitting $90.79 billion in total.

  • Trader sentiment remains cautious despite rising social buzz and ecosystem growth.

  • Weak derivatives data and flat Funding Rates signal hesitation in leveraged positions.

SUI’s decentralized exchange volume hit a jaw-dropping $90.79 billion. That’s an 89.88% rise since the start of the year. One would expect traders to rush in with both feet. But instead of a stampede, we’re seeing cautious footsteps. Despite all the action under the hood, hesitation lingers. So, what’s holding them back? Let’s dig into the mechanics behind this curious blend of growth and doubt.

https://twitter.com/CryptoAmb/status/1923303689864847506 Cetus Dominates SUI’s DEX volume

Cetus Protocol now rules over 58% of SUI’s DEX volume. That’s not just impressive—it’s commanding. This shows users flocking to native platforms, adding fuel to the ecosystem’s engine. But while SUI’s usage climbs, price action tells another story. SUI traded at $3.72, down 5.36% on the day. This drop didn’t scare everyone off, though. Retail interest seems to be brewing. Social dominance climbed to 1.24%. Sentiment scored a positive 2.30, based on Santiment’s data.

When networks heat up, prices often follow. But SUI’s derivatives data paints a colder picture. Derivatives volume slipped 19.65%, landing at $3.57 billion. Open Interest fell to $1.61 billion, a 12.18% decrease. Such cooloffs often hint at uncertainty. Traders may be waiting for clearer signals or cashing out after recent volatility. The excitement is real, but fear still walks alongside it.

Shorts Could Get Squeezed, But Traders Want Proof

SUI’s liquidation map reveals a juicy cluster of short positions between $3.75 and $4.00. The current price floats just under that danger zone. That’s a loaded spring. A tiny price jump could trigger a wave of forced closures. We’re talking about over 25 million USDT worth of short liquidations. If that level breaks, expect fireworks. Still, most traders play it safe. Funding Rates remain flat at 0.01%, showing a balanced market with little bias.

No one’s betting the farm—not yet. The lack of extreme leverage means fewer surprise moves. For now, the market rests in quiet tension. SUI also trades within an ascending channel. Support hugs $3.53, while resistance looms near $4.58. The price sits near the center at $3.72. Bulls need to guard this mid-zone. A slip could break the structure. Technical indicators like the 9 and 21 EMAs sit above price levels. Momentum weakens, with MACD and signal lines both in the red.

SUI’s surge in DEX volume shows that users trust the platform. That’s no small feat. But confidence from active traders still wavers. The divide between usage and price tells us one thing: the story isn’t over. If sentiment and volume align, a breakout could follow. But for now, SUI walks a tightrope. To reach higher, fresh demand must be ignited, not just interest.