SUI Volatility Rises as TVL Surpasses $920M and Support Levels Tighten

On Thursday, 29 January, SUI showed significant volatility over the last 24 hours as selling pressure rose. Currently, SUI is trading near $1.34, showing a fall of 5.83% in a day. Analysts are monitoring the crucial support levels as liquidity levels change.

The token market capitalization is at $5.12 billion. Its fully diluted valuation (FDV) is higher at $13.5 billion. The difference between the two is the circulating supply and the total supply.

Source: CoinMarketCap

According to analyst Butterfly, SUI is approaching the lower trendline of a descending channel on the two-day chart. Bulls are holding the crucial support level. Accumulation is taking place as the asset is approaching the trendline.

According to analysts, if the altcoin manages to hold the lower trendline, the asset might rise to $4. This is a crucial level for the token. 

Source: X

SUI Presses Toward Liquidity Pocket After RSI Breakdown

Moreover, another analyst, Umair Crypto, highlighted that SUI broke the trendline on the RSI chart and fell by about 7%. Volume and selling pressure are also rising as the asset is falling. 

According to Umair, the token is currently pressing towards a liquidity pocket below $1.32. The zone has a narrow range. This zone represents the first point at which a reaction will emerge.

The market structure will remain weak until there is a shift in momentum in this zone. A reversal will require more volume and increased buying interest. If there is no reaction, it will extend further.

Source: X

Also Read: Bitcoin (BTC) Set for Explosive $100K Omega Surge

A short-term reaction is possible if there is buying interest in this zone. If there is a confirmed reaction, it will represent a shift in strength. If not, another leg will be expected.

Sui Network TVL Climbs as Open Interest Moves Lower

According to Sui Media, network TVL has increased above $920 million. Liquidity in the ecosystem will continue to rise. New inflows will represent increased activity in key applications.

Native BTC has now moved on-chain. This will further increase Sui’s role in cross-chain liquidity. Adoption will increase as more inflows enter the network.

Source: X

According to CoinGlass data, trading volume has increased by 11.42% to $913.42 million. Open Interest has decreased by 1.34% to $723.94 million. The funding rate currently stands at 0.0043%, which represents a neutral market.

Source: CoinGlass

Cryptocurrency has now moved to a critical technical zone. Traders are currently monitoring this liquidity pocket. The coming sessions will reveal whether there will be a reaction or further decline.

Also Read: SUI Faces Critical Short-Term Risk at $1.40 While Long-Term Charts Signal Recovery