Sui (SUI) is attempting to reclaim a key resistance area after recovering from last week’s lows and growing institutional interest in the ecosystem, leading some analysts to suggest that a breakout might be around the corner.
The altcoin has been trading between $2.33-$4.00 price range since the Q2 recovery, hitting a seven-month high of $4.44 two weeks ago. For most of this period, SUI has hovered within the mid-zone of its multi-month range, failing to reclaim the $4.00 resistance multiple times.
The early August pullback saw the token drop 27% from the local highs before bouncing at the end of last week. Since then, SUI’s price has recovered 20% from this month’s lows, rallying 6.65% in the past 24 hours to the $3.90 area.
The trusts, which are now open for daily subscriptions for eligible accredited investors, function as Grayscale’s other single-asset investment trusts and are solely invested in the DEEP and WAL tokens, respectively.
Analyst Sjuul from AltCryptoGems noted the cryptocurrency “really likes to move along the 3 drives pattern.” The pattern consists of three consecutive price movements in the same direction, before a trend reversal.
Now, the cryptocurrency has been potentially repeating the bullish setup since the May breakout, with the third drive up still ahead. “We should still have one leg left,” the analyst asserted, which could propel SUI’s price to the $5.00 resistance.
To the market watcher, the compression period “is over” and a breakout could be imminent in the coming weeks. A confirmed breakout from the $4.00 resistance could kickstart a rally to a new high between the $7.90 and $11.7 area.
As of this writing, SUI trades at $3.91, a 12% increase in the monthly timeframe.
