Sui Soars to $3.72: Why $3.52 Support Could Make or Break the Rally

Sui's price surges past $3.72—now all eyes are on that $3.52 floor.

Will it hold, or will traders get another 'learning opportunity'?

Key levels to watch as the market decides whether to pump or dump.

Another day, another crypto chart pretending it's technical analysis and not astrology.

Broader Market Conditions Impacting SUI

The cryptocurrency market has been rattled by macroeconomic indicators, particularly recent U.S. CPI data, which revealed a 3.3% annual inflation rate. This prompted a 1.5% drop across the broader crypto market and $1.05 billion in liquidations. SUI itself recorded $119,000 in short liquidations, exceeding $14,000 in long liquidations, highlighting prevailing bearish positioning.

SUI’s futures open interest has fallen by 9.2%, now totaling $1.79 billion, signaling limited short-term squeeze potential. Funding rates have normalized to 0.0083% after peaking in July, showing a decline in Leveraged trading activity. These factors collectively underscore the caution among traders and the short-term pressures on SUI’s price.

Technical Analysis: Key Levels and Indicators

From a technical standpoint, SUI recently attempted to break above the $3.57 Fibonacci level on August 15 but failed to sustain momentum. This rejection triggered stop-loss orders, accelerating the decline. Resistance NEAR the 30-day simple moving average (SMA) at $3.79 and a negative MACD histogram reading of -0.0026 confirm weakening bullish momentum.

On the 4-hour chart, the Relative Strength Index (RSI) has slipped to 44, suggesting bearish sentiment in the short term. Price consolidation is occurring at $3.72, aligning with the 61.8% Fibonacci retracement level, which has historically acted as a critical pivot for SUI. A clean break below this support may open the door for a further decline toward $3.52, corresponding to the 78.6% Fibonacci retracement zone.

Resistance levels remain significant hurdles for any attempted recovery. Immediate resistance is observed at $3.85 and $4.07, both areas that previously saw substantial selling pressure. A decisive MOVE above $4.07 could pivot market attention toward the $4.75 zone, potentially signaling a renewed bullish trend.

SUI Market Outlook

If SUI can maintain support at $3.72, the token may enter a phase of consolidation before attempting to retest higher resistance levels at $3.85 and $4.07. Maintaining these supports is crucial for traders and investors looking to gauge potential bullish reversals. Conversely, a breakdown below $3.72 could trigger accelerated selling toward $3.52, which WOULD be a critical level to monitor for potential rebound attempts.

Volume analysis also supports this cautious outlook. The recent drop in trading activity suggests that market participants are reluctant to take aggressive positions, likely waiting for clearer signals before committing. The interplay between support and resistance levels, combined with macroeconomic pressures, will likely dictate SUI’s near-term trajectory.

Investor Considerations

Traders should be aware that SUI’s technical indicators are signaling a bearish tilt in the short term. The declining RSI, negative MACD histogram, and weakening momentum all suggest the possibility of further downside if support zones fail to hold. Meanwhile, macroeconomic factors, such as inflation data and market-wide liquidations, continue to influence investor behavior.

However, maintaining key Fibonacci supports, particularly at $3.72 and $3.52, could stabilize the price and allow for a gradual recovery. Strategic investors may view consolidation phases near these levels as opportunities to accumulate sui before a potential rebound toward $3.85, $4.07, or higher.

Conclusion

Sui (SUI) is currently navigating a delicate phase amid market-wide selloffs and technical pressures. The $3.72 level serves as a pivotal support, with a break below likely targeting the $3.52 zone. Resistance at $3.85 and $4.07 will be critical for any recovery attempts. Traders and investors should closely monitor these levels, along with broader market conditions, to anticipate potential moves.

While near-term volatility remains high, maintaining critical support could offer opportunities for consolidation and strategic accumulation. SUI’s next moves will largely depend on the balance between bearish selling pressure and investor demand at key technical levels.