On April 1, 2025, the $SUI network is scheduled to unlock 64.19 million SUI tokens, valued at approximately $148.29 million. This release represents 2.03% of the current circulating supply of 3.17 billion SUI tokens. Historically, such token unlocking events can lead to short-term price volatility, as the increase in supply often triggers selling pressure.
Potential Impact on SUI Price
Short-Term Price Decline: A sudden increase in supply may lead to downward price pressure, especially if investors sell unlocked tokens to secure profits.
Increased Volatility: Expect higher price fluctuations as traders react to the unlocking event.
Possible Buying Opportunity: After the initial sale, SUI may present a strong buying opportunity at a lower price.
Profit Strategy: Sell Before Unlocking, Buy on the Dip
To maximize profits, consider the following trading approach:
Sell Before Unlocking: If you already own $SUI , selling before the unlocking event may help secure profits before potential price drops.
Monitor Price Movement: Keep an eye on price action after the unlocking. If a significant drop occurs, it may signal a good entry point.
Buy on the Dip: Accumulate SUI at a lower price once the selling pressure diminishes and the market stabilizes.
Hold for Recovery: As the market digests the new supply, the price of SUI may recover, providing a profitable exit strategy.
Resilience of the Sui Network Ecosystem
Despite possible short-term volatility, the Sui network remains strong:
The monthly trading volume of DEX exceeds $5 billion.
The market capitalization of stablecoins has grown from $370 million in December to $628 million in March.
The Total Value Locked (TVL) has decreased from $2.08 billion to $1.2 billion, reflecting broader market trends.
Final Thoughts
Selling $SUI before the unlocking and re-entering at a lower price could be a profitable strategy. However, traders must stay informed about market trends, manage risk effectively, and adjust their strategies based on real-time price movements.
By leveraging market trends and strategic timing, investors can maximize their profits in this unlocking event.
#ABCTraders
