Following a remarkable rebound in the digital currency market, major cryptocurrencies experienced a slight correction in their prices.
During this period, Sui’s Layer-1 token has successfully retested its breakout zone and appears ready for a notable uptrend.
SUI: Evaluation of Crucial Levels
Per analysis from CryptoCrypto, SUI exhibited bullish behavior as it surpassed a formidable resistance barrier at $2.05, forming a three-white-shoulder candlestick pattern on the daily chart.
After this breakout, SUI witnessed a surge of almost 20%. Despite the ongoing correction, SUI has revisited this level and is now indicating an upward trajectory.
Considering its historical price action, maintaining above $1.80 could potentially drive SUI up by 20% to hit $2.50 in the near future.
In contrast, a failure to sustain $1.80 might lead to a substantial drop to around $1.40.
Given the current market sentiment, it is likely that SUI will hold above the resistance level and see a significant increase in value soon.
Coinglass, an on-chain analytics firm, supported this positive outlook for SUI. Their data showed a Long/Short Ratio of 1.02, indicating bullish sentiment among traders.
Furthermore, Futures Open Interest for SUI surged by 4.1% in the last 24 hours, indicating increased positions compared to the previous day, which is generally seen as a favorable signal.
Crucial Liquidation Thresholds
Presently, significant liquidation levels stand around $2.07 at the lower end and $2.166 at the upper end, indicating over-leveraged positions at these points, as per Coinglass.
If prices rise to $2.166, around $4.52 million worth of short positions could be liquidated, assuming the current market sentiment persists.
Conversely, a shift in sentiment leading to a drop to $2.07 could result in liquidation of approximately $7.35 million worth of long positions.
This data suggests that bullish long positions substantially outnumber bearish short positions, indicating a prevailing positive sentiment in the market.