The Sui ecosystem continues to demonstrate impressive core strength, even with a significant decline in the price of its native token. An in-depth analysis of the data reveals a substantial gap between the thriving on-chain activity of the network and its recent price movements, a dynamic that some analysts see as a potential long-term opportunity.
Renowned market analyst Michael Van de Poppe recently highlighted Sui as one of the most promising blockchain projects not tied to VM-based systems, noting its rapid growth and indicators of technical resilience.
Sui's on-chain growth accelerates as key indicators rise.
Sui has shown remarkable expansion across several on-chain indicators. Stablecoin holdings on the network have tripled since January, from $400 million to nearly $1.2 billion.
This doubling in supply reflects growing user confidence and liquidity flowing into the ecosystem. Furthermore, the total value locked (TVL) is now $1.8 billion, placing Sui third among non-VM-based cryptocurrency chains, a significant achievement in a competitive environment.
The adoption of digital wallets is gaining momentum. The Sui ecosystem has seen significant integration with Phan,,tom, a popular multi-chain wallet. Additionally, the wallet has undergone updates.
The original to change its branding to Sl,ush, giving the platform a more user-friendly identity and interface.
Lending activity is also thriving. Sui,,Lend, the protocol's native lending platform, has secured over $600 million in total value locked. This represents a 90% increase in just one month.
Market correction represents a potential opportunity.
The recent market decline has lowered the price of Sui to $2.94, down 13.71% over the past week. However, this decline may provide a timely opportunity. According to Van de Poppe, Sui represents an earlier pattern, where breaking the level of $3.30 could lead to a significant rally. Liquidity above this level may enhance bullish momentum, should buyers target key support levels near $2.50.
The daily chart for the pair shows
Technical indicators support a cautious but careful stance. The MACD indicator shows bearish momentum with a negative reading on the histogram at 0.0308. The relative strength index is at 38.39, approaching the oversold territory but has not yet reached it. Historically, these levels precede rebounds.
Monitoring the next step.
The net cash flow chart for Spot indicates strong outflows since April, suggesting a potential profit-taking or cautious trend. On June 17, net outflows exceeded $770,000. While this adds pressure in the short term, these trends often reverse if technical support levels hold and fundamental factors remain strong.