SUI Price: Technical Analysis Shows Potential Trend Reversal After Correction

TLDR

• SUI is showing signs of a potential trend reversal after completing an ABCDE correction
• Key resistance level stands at the 0.5 Fibonacci retracement of $2.89
• SUI has formed an ascending triangle pattern that could lead to a breakout if price closes above $2.4
• The token has rebounded 5% in the past week despite dropping 32% over the previous four weeks
• Strong fundamentals include over $1.1 billion in total value locked (TVL) across Sui’s Web3 ecosystem

Sui (SUI) has been navigating a challenging market landscape since early 2025, showing recent signs of recovery after completing a corrective phase. The cryptocurrency is now testing key technical levels that could determine its next major move.

SUI has experienced a significant correction of over 32% in the past four weeks. This decline coincided with broader market reactions following U.S. President Donald Trump’s second inauguration in January.

Despite these headwinds, SUI has shown resilience by rebounding 5% over the past week. The large-cap altcoin, with a market capitalization of approximately $22.8 billion, continues to see high trading volumes around $889 billion daily.

Technical Analysis

Technical analysis reveals that SUI has formed a five-wave impulsive structure that peaked at $5.35 on January 6. Following this peak, the price entered an ABCDE correction within a descending wedge pattern.

The 4-hour chart shows price action stabilizing near the 0.618 Fibonacci retracement level at $2.31. This level represents a critical support zone that could serve as the foundation for a potential reversal.

Sui Price on CoinGecko

The Relative Strength Index (RSI) on the 4-hour timeframe is attempting to recover from oversold conditions. This technical indicator suggests that selling pressure may be waning, creating conditions for a possible upward move.

SUI has been retesting a major resistance point from April 2024 over the past two weeks. This level was previously broken in October 2024, and the current retesting phase could be preparing the way for another breakout.

An ascending triangle pattern has formed on the 1-hour chart according to crypto analyst Ali Martinez. This pattern often precedes breakouts when the price consistently closes above a key level – in this case, $2.4.

If SUI successfully breaks above $2.4, a rally toward the next key resistance at $2.89 could follow. This level aligns with the 0.5 Fibonacci retracement from the broader downtrend and would validate the bullish scenario.

However, caution is warranted as a drop below $2.2 would invalidate the bullish setup. Such a move could trigger a deeper correction toward $2 or lower, with $1.48 (0.786 Fibonacci) acting as the last major support.

Looking at the Elliott Wave structure, a five-wave sequence was recently completed at $2.50. This suggests that a corrective (a)-(b)-(c) pullback may occur before a renewed uptrend can begin.

During this pullback, the price may retrace toward the $2.31 level before forming a higher low. If this support holds, the next impulsive wave could target the $2.89 region.

A successful breakout above $2.89 would open the door to higher targets. The 0.382 Fibonacci level at $3.47 would then become the next major resistance to watch.

While short-term price movements capture most attention, SUI’s long-term fundamentals continue to strengthen. The network has developed a robust Web3 ecosystem hosting several DeFi protocols including Suilend, NAVI, Cetus AMM, and Haedal.

The total value locked (TVL) in Sui’s ecosystem has reached over $1.1 billion. This achievement highlights growing interest and confidence in the network’s capabilities and future potential.