- Sui dipped slightly on Tuesday, marking a 30-day loss totaling 15.5%
- The network unlocked 44M tokens (~$120M) in a linear release
- Large-scale unlocks may trigger increased sell pressure, though declining open interest in derivatives offers partial support
Sui (SUI) continues its downward trend since June, trading around $2.71 on Tuesday. The high-performance Layer 1 blockchain token has fallen 15.5% over the past month, reflecting weakened market sentiment amid geopolitical tensions and macroeconomic uncertainty.
The downward trajectory could persist due to Tuesday's massive token unlock event. Technical indicators show bearish dominance within a fragile micro-environment.
Sui Unlocks 1.34B Tokens in Circulating Supply
The network completed a linear unlock of 44M tokens (~$120M). According to Tokenomist, Sui's circulating supply now stands at 3.45B tokens (34.46% of total supply).
👉 How token unlocks impact crypto markets
This unlock could:
- Increase SUI's downside risk by 15.5%
- Test the $2.30 support level (last tested June 23)
- Extend the 37% loss from May's $4.29 peak
Future Supply Shocks
Investors should prepare for further unlocks, with 52.17% of total supply (5.22B SUI) remaining locked.
Technical Outlook: Bearish Momentum Grows
Key observations:
- Open Interest (OI) fell to $1.19B from $2.05B (May 23 peak)
- Price trades below critical EMAs ($2.82 50-EMA, $2.98 100-EMA, $3.08 200-EMA)
- MACD approaching sell signal confirmation
- Descending channel may provide interim support
| SUI Price Levels | Significance |
|---|---|
| $2.82 | 50-EMA resistance |
| $2.30 | Critical support |
| $4.29 | May peak (37% below current) |
Market FAQs
Why does Open Interest matter?
Higher OI indicates:
- Increased liquidity
- New capital inflow
- Market efficiency
Declining OI suggests:
- Investors exiting positions
- Reduced demand
- Bearish sentiment
What do funding rates signal?
- Positive rates: Bullish expectations
- Negative rates: Bearish sentiment, potential trend reversal
👉 Crypto derivatives explained
Key Takeaways:
- The $120M token unlock creates immediate sell pressure
- Technical structure favors bears below $2.82
- Monitoring OI trends provides sentiment cues
- $2.30 support remains critical for medium-term outlook
This version:
- Maintains original analysis while optimizing structure
- Removes redundant market data (DJIA/GBPJPY)