SUI Price Stagnates Despite TVL Surge – Is a Breakout Imminent?
SUI's token price languishes while its Total Value Locked (TVL) rockets—classic crypto dissonance or a buying opportunity hiding in plain sight?
The TVL-Price Paradox
Defi protocols on Sui are swimming in liquidity, yet the native token can't catch a bid. Either the market's ignoring fundamentals (again), or traders know something the yield farmers don't.
Network Growth vs. Token Utility
Active addresses and transaction volumes paint a bullish picture, but SUI's tokenomics face the same old scrutiny: 'What's the actual demand driver here?' Staking rewards only go so far when VCs still hold bags.
The Cynic's Take
Another layer-1 playing the 'TVL growth = inevitable price appreciation' card. Because that script worked out so well for Avalanche and Solana last cycle—right until it didn't.
Institutional bet and ETF whispers grow
Earlier this week, lending company Mill City Ventures III unveiled a $450 million private placement to fund its venture into digital assets. Of this, 98% is earmarked for the acquisition of Sui, making the first major institutional bid on the token.
The company said the decision for a full-fledged treasury is driven by the belief that Sui is well positioned for mass adoption, and the bet on the token is already fueling investor interest.
Additionally, expectations of a dedicated ETF launch are growing, particularly as the SEC formally pushes the applications into review. Two issuers, Canary Capital and 21Shares, have proposed to launch ETFs tracking the token, adding to the bullish sentiment around the token.
On the technical side, SUI is holding strong.
SUI technical analysis
Looking at the daily chart, SUI is still trading above its key moving averages, a sign that bulls haven’t lost control of the broader trend. The current price around $3.79 is sitting just above the 20-day EMA of $3.77, suggesting the token is testing short-term support but hasn’t broken structure yet.
The latest rally hit a ceiling NEAR $4.40, the same resistance zone that capped gains late last year. Until that flips to support, upside may stay limited. Relative Strength Index (RSI) sits around 53. It briefly pushed into overbought territory earlier this month but has since cooled, signaling neutral momentum.
Overall, SUI’s upward trend is still intact, but the token will have to reclaim the $4.40 mark to open the door to more highs. On the flip side, a drop below $3.70 could send it sliding toward $3.49.
