SUI's price has surged 95% following the Federal Reserve's interest rate cut, but now tests a critical supply zone. As buying pressure wavers, there are concerns about a potential correction, with $1.40 as a key target. Market speculation grows about the trend's sustainability.
Coinglass data highlights a decline in demand, and a negative funding rate signals increasing short positions, indicating traders expect a price drop. This reflects a cautious market anticipating potential downturns, especially as investors begin profit-taking.
SUI's price is now in a consolidation phase just below the $2 resistance level. Failure to hold $1.60 support could trigger a 20% decline to the $1.40 demand zone, closely watched by traders. The next steps will determine whether bulls regain control or further price drops ensue.
Analysts remain uncertain of SUI's trajectory, weighing recovery potential against continued correction risks. Critical levels at $1.60 and $1.40 are key indicators of market sentiment and future price movements.
