SUI Technical Analysis: Market Trends on May 23, 2025

Technical analysis of SUI on May 23, 2025, exploring resistance, support, and indicators

Technical analysis of SUI on May 23, 2025, indicates a market with bullish potential but signs of short-term consolidation due to recent news of a hack in the Cetus decentralized exchange. SUI is currently trading around $3.94, showing efforts to test key resistance levels in the daily timeframe. **Resistance and Support Zones**: After stabilizing at $3.81, SUI now faces significant resistance between $4.06 and $4.32. This zone is critical due to high selling pressure and prior price rejections. A breakout above this could target $4.75. On the downside, key support levels are at $3.81 and $3.56, which have historically served as strong price floors and are expected to attract buying support during corrections. **Technical Indicators**: The RSI (Relative Strength Index) on the daily timeframe is at 60.72, indicating a bullish trend with balanced momentum. This level suggests SUI is not yet in overbought territory (above 70), but the recent hack may dampen momentum, potentially leading to consolidation. The 50-day and 200-day Simple Moving Averages (SMAs) are bullish, with the 50-day SMA above the 200-day SMA, forming a 'golden cross'—a strong signal of continued upward momentum. **Price Patterns**: In the 4-hour timeframe, SUI has formed a falling wedge pattern, typically interpreted as a bullish pattern. However, declining trading volume near the $4.06 resistance indicates trader caution, particularly after the recent hack, which saw approximately $11 million in SUI/USDC liquidity stolen from the Cetus exchange. This event may temporarily impact market confidence. **Fundamental and External Factors**: Beyond technicals, SUI’s ecosystem growth, with over 2.14 billion transactions processed in 2024, has bolstered demand. However, the recent Cetus hack, a key liquidity provider for SUI, has negatively affected market sentiment. This could lead to short-term consolidation, but recovery in confidence and network advancements are expected to support the bullish trend. Macroeconomic factors, such as monetary policies and competition with other blockchains, may also introduce volatility. **Conclusion**: Based on indicators and price patterns, SUI has the potential to rise toward $4.32 in the short term, but resistance at $4.06 and the impact of the recent hack may lead to consolidation or a short-term correction. Traders should monitor volume, price reactions at key levels, and news regarding network security improvements. Risk management and waiting for confirmed breakouts are advised for successful trading.