SUI aims for 20% increase, but anticipates minor dip over the weekend

Sui witnesses a bullish structure flip, gains more than 50% within a week

Recent performance analysis indicates that Sui [SUI] has been experiencing a positive bullish trend throughout the week. Starting from the low point on Monday and peaking on Sunday, the token has managed to achieve a remarkable 51.35% increase before experiencing a minor setback in the past 24 hours from its peak at $1.5769.

While the overall outlook remains optimistic on longer timeframes, there are indications of a potential short-term decline. Below are some insights for swing traders to navigate the upcoming price fluctuations over the next fortnight.

Is SUI Facing Overextension?

On the 15th of September, Sui concluded a daily trading session above the $1.05 threshold. This particular level had previously served as a significant resistance point, causing a price reversal in August that led to a drop to the $0.79 support level.

Following the breach of the $1.05 mark, the daily market dynamics shifted towards a bullish stance. Buyers swiftly initiated a market impact, driving prices to surge within the next week, with a noteworthy 51.33% increase recorded between Tuesday and Friday.

The On-Balance Volume (OBV) surpassed a notable resistance level, while the daily Relative Strength Index (RSI) peaked at 78, entering overbought territory. Given the rapid pace of gains, a pullback was deemed likely in the short term.

Subsequently, the next few weeks are anticipated to lean towards a bullish sentiment for SUI, with the $1.77 price point acting as the next target, representing a 100% extension level. However, the resistance zone of $1.44-$1.52 could present a temporary challenge for the bullish momentum.

Liquidation Levels Indicate Potential Dip Extremes

Analysis by CryptoCrypto highlighted that the cumulative liquidation levels favored the bulls significantly. While there was a slight reduction in the past 24 hours as the token retraced from $1.57 to $1.44, the possibility of a deeper decline remains.

The cluster of liquidation levels at $1.42, $1.37, and $1.3 are identified as the upcoming short-term targets. A price rebound from these levels is expected in the coming week, contingent upon Bitcoin’s ability to maintain above the $60k support threshold.

Disclaimer: The views expressed in this article are subjective and do not serve as financial, investment, or trading advice but rather represent the opinions of the author.

 

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