google-news-img
spot_img
spot_imgspot_imgspot_imgspot_img

SUI Price Rally Could Extend, but a 32% Drop Still Looks on the Cards

Key Insights:

  • SUI crypto price jumped fast from $1.30–$1.45, but a full breakout is not confirmed.
  • Money flow turned positive, but earlier weakness hints at profit-taking risk.
  • Heavy long leverage increases downside risk if momentum slows.

SUI price moved up very fast in a short time, up over 13% day-on-day. Many traders noticed the sharp rise and joined the move. This kind of rally often looks strong on the surface, but it also brings new risks.

To understand what may come next, we need to slow down and look at the price, the money flow, and trader behavior in simple terms.

This piece explains why SUI crypto can still move higher than the 30%+ weekly rally, and why a deep pullback is also possible. The second condition looks more likely now.

SUI Price Jumped So Fast

SUI price bounced strongly from a base between $1.30 and $1.45. This area acted like a floor where buyers stepped in again and again. When the price stopped falling and started rising from this zone, traders saw it as a sign of strength.

Once the price moved higher, more buyers joined. This pushed SUI crypto up quickly and turned a slow recovery into a sharp rally. Right now, that pattern is hinting at a more bullish inverse head-and-shoulders formation. Yet, the SUI price needs another 32% push to confirm that.

SUI Price Action | Source: TradingView
SUI Price Action | Source: TradingView

On the chart, SUI crypto has not yet broken its biggest resistance area. That zone sits close to $2.59.

Resistance means a price level where selling often increases. Many traders who bought earlier may sell there to take profits. That level would also confirm the pattern formation.

Until SUI reaches and reacts to that level, the rally is still unfinished, not confirmed as a full breakout.

Also, some X analysts’ handles highlight the triple bottom bounce as one of the reasons for the unexpected SUI price rally.

What Money Flow and Leverage Are Telling Us?

To see if real money is supporting the rally, traders look at Chaikin Money Flow, also called CMF. CMF shows whether money is entering or leaving an asset.

Right now, CMF is above zero, which means new money is coming in. This supports the idea that buyers are active.

SUI Money Flow | Source: TradingView
SUI Money Flow | Source: TradingView

But there is also a warning sign. Earlier, while the SUI price was moving higher, the CMF made a lower low.

In simple words, the price went up, but the money flow weakened for a short time. This pattern often appears when early buyers start taking profits.

Another risk comes from derivatives trading. Derivatives are trades made using borrowed money. When many traders use leverage on one side, the price becomes unstable.

At the moment, long positions dominate. This means most leveraged traders are betting on higher prices. Short positions are much smaller.

This imbalance helped push SUI crypto up because short sellers were forced out.

But it also creates danger. If the rice slows or drops slightly, long traders may rush to exit. That can cause a fast and deep pullback.

SUI Price Still Faces Risk for 32% Drop

Social interest gives another clue. Social data tracks how much people talk about SUI online. After falling for months, this interest started rising again in early January.

SUI Social Chatter | Source: Santiment
SUI Social Chatter | Source: Santiment

This is a healthy sign. It means people are returning, but not in a wild or emotional way. Social interest is improving, not overheating. That usually means the market is not at a final top yet.

Still, price action matters most. If SUI fails to keep moving higher and loses momentum, the first key support sits near $1.45.

That is the area where the rally began. A pullback to this level would be normal and not dangerous by itself.

If selling pressure grows and leveraged longs exit together, the price could slide further toward $1.30. From current levels, that would mean a SUI price drop of about 32%.

Disclaimer

The contents of this page are intended for general informational purposes and do not constitute financial, investment, or any other form of advice. Investing in or trading crypto assets carries the risk of financial loss. The forecasted data (also called “price prediction”) on this page are subject to change without notice and are not guaranteed to be accurate.

Our Newsletter

Subscribe to our newsletter to get the latest news and promotions.

Rahul Nambiampurath
Rahul Nambiampurath
Rahul Nambiampurath's cryptocurrency journey began in 2014 when he stumbled upon Satoshi's Bitcoin whitepaper. With a bachelor's degree in Commerce and an MBA in Finance from Sikkim Manipal University, he was among the few who first recognized the untapped potential of decentralized technologies. Since then, he has helped DeFi platforms like Balancer and Sidus Heroes — a Web3 metaverse — as well as CEXs like Bitso (Mexico's largest) and Overbit reach new heights with his media outreach skills and digital marketing strategies. For the past eight years, he has also covered major crypto events for leading publications — including Investopedia, Crypto Briefing, FXEmpire, Crypto.news, The Defiant, and BeInCrypto — with expertise spanning DeFi, DAOs, NFTs, and everything decentralized.