SUI, the native token of the Sui layer 1 smart contract platform, has been gaining attention in the DeFi sector with a 300% increase in value over the past three months.
In October 2023, SUI’s price and traders’ interest took a hit due to allegations of supply manipulation from South Korean regulators. However, recent technical and on-chain data suggest that the recent price reversal of SUI is based on improving fundamentals.
The total value locked (TVL) on the Sui platform has seen a significant increase of over 828% in the past three months, reaching a milestone of $300 million. This growth can be attributed to various protocols such as Cetus, Navi Protocol, Scallop Lend, DeepBook, and FlowX Finance.
Furthermore, SUI’s relative liquidity ratio (RLR) indicates a growing interest from traders. The RLR is a ratio that compares the 24-hour trading volume to the market cap of a token. A higher ratio suggests greater interest and liquidity in the token.
In terms of price action, SUI has experienced a significant rally, reaching a swing high of $1.4486 on January 15th. The major moving averages are still pointing upward, indicating a bullish market sentiment. However, the RSI shows that SUI is currently overbought, suggesting a potential correction in the near future.
Key levels to watch on the upside include $1.40 and $1.44, while potential support areas can be found at $1.92, $1.0, and $0.80.
It is important to note that this article does not provide investment advice or recommendations. Readers should conduct their own research and assessment before making any investment or trading decisions.