SUI price drops 4.58% after $150 million tokens unlock activity

The price of SUI coins has fallen sharply recently, falling by 4.58% after the $150 million token unlock activity.

The price of SUI coins continues to decline, and the decline is due to the unlocking of 150 million tokens, which brings huge pressure to the market. Traders keep an eye on key support levels to determine whether the SUI price rebounds or continues to fall.

Key support level test

The SUI coin price is currently testing the key support level, at about $2.06. Some analysts are expected to fall further. Other support levels are at $1.5160 and $1.1400, respectively.

The 150 million SUI token unlocking activity has an impact on the coin price, which may be the result of the project's recent market strategy. Token unlocking usually leads to an increase in market supply and investors start selling out cash. The number of tokens unlocked this time accounts for 2.03% of the total supply, exacerbating the dilution effect and becoming one of the reasons for the recent decline in the currency price.

Macroeconomic concerns have also affected market sentiment and exacerbated the decline in SUI price.

The SUI price fell below $2.50 for the first time in three weeks, causing short-term investors' concerns.

Technical indicators show bearish trend

Technical indicators support the bearish trend of SUI currency price. Prices fluctuate near the support level and are near the lower Bollinger Band. Once it falls below the $2.06 support level, it may fall further.

The relative strength index (RSI) is 39.57, and it has not yet entered the oversold zone, but the momentum has weakened. The RSI is below the neutral value of 50, indicating that the selling pressure is greater than the buying order. If the RSI rises above 50, it indicates that the market is stable; if it falls below 30, it may trigger further selling.

The capital flow indicator (CVD) is -30 million, indicating that the selling pressure is greater than the buying pressure, which is consistent with the current price downward trend, indicating that the market bearish sentiment will continue.

Future trend of SUI currency price

Although the SUI price is falling, it is approaching the key demand area on the weekly chart, which may be a reversal point. Market analyst Cryptotarget11 noted that the price is close to the established support/resistance area, which has triggered a price reversal in the past.

Traders should pay close attention to the $2.05 area, which may attract buying and change market sentiment. A break below this level may test the $2.00 support level and even further down to $1.90 or $1.50. However, some analysts expect that the SUI price may hit a new high of more than $10 in the future once bearish pressure fades.

Disclaimer: The content of this article is for reference only and does not constitute investment advice. Cryptocurrency investments are risky and can lead to financial losses.

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