SUI is showing signs of stability after finding support in a key technical confluence zone, giving bulls hope for a possible recovery. However, despite the strong support structure, broader market signals continue to point to persistent downside risks, with concerns growing that the current trend could still favor a deeper corrective move.
Holding in the main breakout retest zone
In light of the waning market action, crypto strategist Scient marked a crucial moment for SUI. After a measured pullback, the asset successfully tested and held support at the Value Area High (VAH) of its previous daily trading range. This level is critical as it marks the original breakout point, indicating that bulls have successfully defended their territory.
A 12-hour breaker block acts as a catalyst for the initial breakout, which now serves as a robust defensive barrier. Complementing this validation, a dense cluster of Exponential Moving Averages (EMAs) converges in the same area. This combination creates a powerful confluence of indicators that strengthen the case for price stability.
This alignment, consisting of the VAH, the breaker block and the EMA cluster, creates three different layers of support at a single critical price level. As long as this support holds, the market structure will remain resilient, suppressing bearish momentum and promoting consolidation.
Given this defensive stance, the path of least resistance now points upward, targeting the Fibonacci expansion zone of 0.618–0.786. Should this accumulation phase continue, this objective remains the logical destination for the recovery.
SUI is still struggling to confirm a meaningful bottom
According to According to a report from MCO Global, SUI has yet to confirm a meaningful market decline, raising concerns about the broader structural health of the asset. The prevailing technical analysis suggests that the current recovery phase could represent a completed wave 4. If this wave structure holds, the asset appears positioned to initiate a fifth wave decline, with technical targets projected in the 65 to 49 cent range.
On the technical front, immediate resistance is concentrated within the $1.12 to $1.31 range. A decisive daily close above $1.31 is the essential step to improve the outlook and support a sustained recovery from wave 4, with upside targets potentially between $1.44 and $2.08. Failure to clear this hurdle will leave the asset exposed, with immediate downside support levels at $0.97, $0.88 and $0.81.
Ultimately, the current price action increasingly reflects a classic five-wave decline from the May highs. Until the market shows a shift toward impulsive, high-conviction buying, the technical evidence continues to favor lower prices over an immediate structural reversal.