SUI Price Prediction: Correction Before New Highs

Since April, SUI has been one of the best-performing layer-1s in the crypto market, with a 115% price increase, outpacing Ethereum (ETH) and Cardano (ADA).

Key Takeaways

Since April, SUI has been one of the best-performing layer-1s in the crypto market, with a 115% price increase, outpacing Ethereum (ETH) and Cardano (ADA).

However, the upward movement hit a roadblock in May, failing to break out from the $4.15 horizontal resistance area.

Since then, SUI has pulled back and barely holds on to a key support area, raising concerns about a potential breakdown.

The uptrend is losing steam. If SUI breaks down, it will trigger a deeper decline. Let’s look at the charts and see where the next support lies.

SUI Price Struggles

The SUI price has rallied significantly since April 7, culminating with a high of $4.29 on May 12.

However, the SUI increase stalled once the price reached the $4.20 horizontal resistance area.

The decline also confirmed a deviation (black circle) above the 0.618 Fibonacci retracement resistance.

Today, the SUI price creates a bearish engulfing candlestick, and the coin risks a breakdown below minor support.

If so, the next closest support will be at $3.20.

Technical indicators show weakness. The Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) created bearish divergences (orange).

Therefore, a SUI price correction is likely. Let’s look at the wave count and see where it might lead.

Where Will SUI Find Support?

The wave count confirms that the SUI price increase since April was impulsive.

SUI’s five-wave increase indicates a bullish long-term trend, meaning new highs are likely after the correction.

However, the rally likely ended on May 10, and the price is now in an A-B-C correction (red).

If the count is accurate, SUI is in wave C of this correction, which could end between $3 and $3.36.

A shallow correction will take the SUI price to the upper limit, giving waves A and C the same length.

Alternatively, a deeper correction will take SUI to the target’s lower limit, creating an extended wave C.

Afterward, new highs are likely.

Correction Before New Highs

The price action and wave count analysis suggest SUI’s long-term trend is bullish, and new highs are likely.

However, a short-term correction could target $3 – $3.36.

Afterward, SUI could resume its upward movement and break out above the $4.15 resistance.