SUI has been consolidating within a well-defined descending trend line over the past several weeks, with the cryptocurrency currently trading at $3.1749 as it approaches a major support zone.
The altcoin has been respecting the falling resistance zone, but recent price action suggests that a decisive move could be imminent as SUI inches closer to the swing low close to the $3.0000 major psychological mark.
The descending SUI trend line has been the dominant chart structure since late May, with price consistently making lower highs and lower lows within this structure. However, the recent consolidation around current levels shows that selling pressure may be waning, as SUI has managed to stabilize above key support levels despite the overall bearish trend.
Downside Targets
From a Fibonacci perspective, SUI is currently trading hovering near the 38.2% retracement level at $3.1448 and could be setting its sights on the 50% level at $3.0615. This positioning suggests that the cryptocurrency is in a neutral zone where either buyers or sellers could take control depending on broader market sentiment and volume dynamics.
A breakdown below the 50% level might trigger a move toward the 61.8% extension at $2.9781, then a selloff to fresh lows at the 76.4% level of $2.8750 before reaching the full extension at $2.7083.
The moving average configuration presents a mixed picture for SUI’s intermediate-term outlook. Both the 100 SMA and 200 SMA appear to be converging near current price levels, creating a potential inflection point for the cryptocurrency.
A successful break above both the channel resistance and the moving averages could signal a shift in trend, potentially targeting the $3.50-$3.60 resistance zone where previous highs were established. Conversely, rejection from current levels could see SUI retreat back toward the channel’s lower boundary, which coincides with the $2.87-$2.95 support area.
SUI Momentum Dynamics
The stochastic oscillator reveals interesting dynamics, currently hovering in neutral territory after spending considerable time in oversold conditions during the recent decline. This suggests that selling pressure has diminished somewhat, although the oscillator hasn’t yet signaled a strong bullish reversal. This position indicates there’s room for upward movement without immediately reaching overbought levels.
The MACD indicator appears to be flattening near the zero line, suggesting that momentum is stabilizing after the recent bearish period. This sideways movement in the MACD aligns with the consolidation pattern visible in price action, indicating that SUI is in a phase where neither buyers nor sellers have established clear control.
Recent price action shows SUI attempting to break above the $3.15-$3.20 resistance zone, but the lack of strong volume accompanying these moves suggests that any breakout attempt may lack conviction. For a sustainable move higher, SUI would need to see increased buying interest and volume to confirm the technical breakout.
Key levels to watch include the $3.25-$3.30 zone for upside confirmation and the $3.00-$3.05 area for downside support. A decisive break in either direction could trigger the next significant trending move for SUI.
