Sui [SUI] experienced a significant bullish momentum throughout the previous week, marking a substantial increase from Monday’s low to Sunday’s peak. The token witnessed a surge of 51.35% before encountering a slight pullback in the last 24 hours from its local high of $1.5769.
While the overall outlook remains bullish on higher timeframes, there are signs pointing towards a potential short-term correction. Let’s explore how swing traders can adapt to the evolving price trends in the upcoming two weeks.
Assessment of SUI’s Price Extension
On the 15th of September, Sui concluded a daily trading session above the $1.05 level, which had previously acted as a significant resistance point. In August, this same level triggered a price rejection pushing Sui down to the $0.79 support zone.
Following the breach of the $1.05 resistance, the daily market dynamics shifted in favor of the bulls. The buyers swiftly took control, propelling prices upwards and achieving a remarkable 51.33% surge within just three days, spanning from Tuesday to Friday.
Key indicators such as OBV surpassing a local resistance barrier and the daily RSI hitting 78, signaling an overbought condition, hinted at a potential retracement in the near future.
Looking ahead, SUI is likely to maintain its bullish trajectory, with the next target set at the 100% extension level of $1.77. Despite testing the $1.44-$1.52 resistance zone, the bulls might encounter temporary resistance before pushing through.
Analysis of Liquidation Levels and Potential Correction
An examination by CryptoCrypto revealed that the cumulative liquidation levels’ delta favored the bulls considerably. Although there has been a slight drop in the past 24 hours with the token retracing from $1.57 to $1.44, a deeper correction could be on the horizon.
The cluster of liquidation levels at $1.42, $1.37, and $1.3 are the immediate targets for the short term. A bounce in prices from these levels is anticipated for the upcoming week, contingent upon Bitcoin maintaining support above the $60k threshold.
Disclaimer: The insights shared in this article are solely the writer’s opinion and do not constitute financial, investment, trading, or any other form of advice.