\n\t\t\t\t\t\t\t\t\tSUI\u2019s market capitalization has climbed past $5 billion.\t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n
Sui\u2019s native cryptocurrency has outperformed all top 10 digital assets over the past week after its valuation surged by double digits.<\/p>\n
While optimism is running high on crypto X that the uptrend is far from over, some technical indicators suggest that a downside move could also be approaching.<\/p>\n
What Sparked the Rally?<\/h2>\n
Several hours ago, SUI briefly pushed above $1.40, marking its highest level since January. The bears, though, quickly stepped in and trimmed part of the gains, bringing the price back to around $1.27 \u2013 still an impressive 35% jump on the week. SUI\u2019s market capitalization surged past the $5 billion milestone, making it the 23rd-biggest cryptocurrency.<\/p>\n
The main catalyst behind the upswing seems to be Sui Group Holdings\u2019 decision to stake<\/a> 108.7 million SUI tokens (worth over $140 million), thus removing almost 3% of the coin\u2019s circulating supply from the market.<\/p>\n The analytics platform Santiment Intelligence added<\/a> two more factors that could have also positively impacted the valuation. The first is the upcoming launch of CME Group SUI futures (scheduled for May 29) and the partnership with Paga, which focuses on cross-border African payments.<\/p>\n Paga is a leading settlement platform that allows millions of people to send, receive, and manage money across Africa. The collaboration with Sui aims<\/a> to bring the Sui Dollar (USDsui) to the continent, giving users access to faster, cheaper, and more reliable digital payments.<\/p>\n Numerous analysts believe the asset\u2019s valuation may reach new peaks soon. X user OxNeena noted<\/a> the \u201cmassive breakout attempt\u201d on the daily chart, envisioning an explosion above $2.50 should the price make a \u201cclean flip\u201d of the $1.30 zone.<\/p>\n For their part, CoinForge said they dismiss 98% of altcoins, but SUI isn\u2019t among those. They argued<\/a> that the asset\u2019s price trajectory repeats the pattern seen last cycle, suggesting it could be gearing up for a major bull run in the coming months.<\/p>\n Contrary to the prevailing optimism among market observers, SUI\u2019s Relative Strength Index (RSI) suggests a pullback may be the next move in the short term. The technical analysis tool measures the speed and magnitude of recent price changes and is used by traders to spot potential price reversal points.<\/p>\n It ranges from 0 to 100, where anything above 70 signals that the valuation has risen too much in a short period, which could be a precursor to a cool-off. Conversely, ratios below 30 hint that the asset is oversold and could be on the verge of a pump. Currently, SUI\u2019s RSI stands at nearly 75.<\/p>\n In the meantime, exchange inflows have outpaced outflows over the past few days, indicating that investors have abandoned self-custody in favor of centralized platforms. This, in turn, increases the immediate selling pressure.<\/p>\nYou may also like:<\/h3>\n
The Pre-Correction Signs<\/h2>\n
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