$SUI Holds Above $3.30 Amid Bullish Wedge Breakout — Can It Target $4.63 or Even $6 Next?
While the broader crypto market remained relatively quiet on Tuesday, SUI managed to post a modest gain of 0.19%, firmly holding above the key $3.30 demand zone. With price action rejecting moves below both the 50-day EMA and this support level, could a bullish reversal be on the horizon?
SUI Price Analysis
On the daily timeframe, SUI’s price action reflects an ongoing attempt to sustain momentum following a breakout from a falling wedge pattern. The breakout pushed the token past the 23.6% trend-based Fibonacci retracement level at $3.30, though it now faces difficulty establishing a consistent higher-high structure.
Following a second retest of the $3.30 demand zone, SUI is now challenging the 50-day EMA near $3.38. The current intraday candle reveals a strong lower wick near the 24-hour low of $3.40, with SUI trading around $3.57 at the time of writing—indicating buyer interest at lower levels.
However, short-term resistance has developed from a descending trendline originating at the recent rejection near $4.29. Adding to the challenge, the daily RSI has fallen below the overbought midpoint, suggesting a weakening bullish momentum.
Despite this, a rebound from the 23.6% Fibonacci level could open the door for a move toward the 38.2% level at $4.63. A sustained rally might even target the 50% retracement level near the psychologically significant $6 mark—potentially setting the stage for a new all-time high. On the downside, the 200-day EMA near $3 offers critical support in the event of a breakdown.
Derivatives Market Shows Bullish Conviction
In the derivatives market, traders remain optimistic despite recent volatility. Open interest in SUI futures rose by 2.10% to $1.81 billion in the past 24 hours, accompanied by a 20.02% increase in funding rates—signaling a growing appetite for long positions.
Interestingly, this bullish bias persists even after a notable $2.45 million in long liquidations, compared to just $595,000 in short liquidations. This imbalance indicates that the bullish outlook remains intact among derivative traders, with many expecting a potential price reversal.
Disclaimer: This article is for informational purposes only and should not be considered financial advice. The views expressed are those of the author and may not reflect the official stance of The Crypto Basic. Always conduct your own research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
