SUI has displayed remarkable strength in recent weeks, establishing a trading range near the 3.5000 level after a significant bullish surge from the 2.2000 area. Price action shows consolidation in a well-defined range, suggesting accumulation before the next directional move.
SUIUSD has formed a rectangular trading pattern on the 4-hour chart, with clear horizontal resistance around 3.6000 and support near 3.4000. The price is currently trading at 3.5432, hovering near the middle of this range, indicating a period of equilibrium between buyers and sellers after the previous strong uptrend.
Range-Bound Trading With Bullish Bias
The 100 SMA (blue line) is positioned well above the 200 SMA (red line), confirming that the longer-term path of least resistance remains to the upside.
Notably, the 100 SMA is curving upward and approaching the current price level, potentially offering dynamic support on any pullbacks. This moving average alignment suggests that buyers still maintain control of the broader trend despite the short-term consolidation.
Looking at the oscillators, stochastic is hovering in the middle range, neither overbought nor oversold, suggesting balanced momentum. Recent stochastic movements show oscillations between the 30 and 70 levels, characteristic of a range-bound market. This indicates that while the immediate trend lacks strong directional conviction, the underlying bullish structure remains intact.
The MACD indicator (middle panel) shows diminishing momentum with the histogram bars shrinking, but the MACD line remains above the signal line, suggesting that bullish momentum still slightly outweighs bearish pressure. The flattening of these indicators aligns with the current consolidation phase.
SUIUSD Potential Breakouts
If SUIUSD breaks above the upper boundary of the range at 3.6000, it could target the recent spike high near 3.7500. A sustained move beyond this level might signal the continuation of the broader uptrend, potentially opening the path toward the 4.0000 psychological level.
On the downside, immediate support lies at the lower range boundary around 3.4000, reinforced by the rising 100 SMA. A break below this support zone could find additional buyers at the 50% Fibonacci retracement level of the previous upswing, approximately at 3.2500.
The 200 SMA is gradually rising and could provide a longer-term dynamic support level if a deeper correction occurs. This moving average serves as a traditional demarcation between bull and bear markets, and as long as price remains above it, the broader bullish outlook remains valid.
For traders looking to capitalize on this market structure, range-trading strategies might be appropriate in the short term—buying SUIUSD near support at 3.4000 and taking profits near resistance at 3.6000. However, position traders might consider maintaining bullish exposure with stops below the 100 SMA, anticipating an eventual breakout to the upside given the underlying positive momentum.
From a fundamental perspective, SUI continues to gain attention in the crypto market due to its scalability solutions. As with other altcoins, it’s likely being influenced by the broader crypto market sentiment and Bitcoin’s performance. Additionally, any project-specific developments or updates to the Sui blockchain ecosystem could catalyze a breakout from the current range in either direction.
