Sui price has pulled back this week as the recent rally hit a snag. The token dropped to a low of $3.81 on Thursday, down from this month’s high of $4.30. Still, despite the retreat, it is one of the best-performing cryptocurrencies as its price rallied by 125% from the lowest point in April. This article lists some of the top metrics that explain its rise to the top.
Why Sui price retreated this week
The SUI token has pulled back for two main reasons. First, a retracement is normal after an asset stages a strong rally. It normally happens as investors, especially retail ones, start taking profits after a long rally.
Second, Sui price has fallen as sentiment in the crypto market has soured. Bitcoin has stagnated at $104,000, while Ethereum is stuck at $2,500. Most other altcoins, including Solana and Polkadot, have remained intact in the past few days.
Historically, altcoins like Sui and Polkadot move sideways or retreat when Bitcoin is not doing well.
Other assets have also stalled after going parabolic on Monday following the truce between the United States and China. The Dow Jones futures fell by 200 points on Thursday, while those tied to the S&P 500 and Nasdaq 100 fell by 20 and 50 points, respectively.
Why Sui price has soared since its inception
Launched in 2023, Sui has become one of the best-performing coins as its ecosystem growth continued. One reason for the surge is that Sui is seen as a better alternative to Solana. For example, it has a theoretical maximum transaction per second (TPS) figure of 297,000, much higher than Solana’s 65,000.
Sui achieves this scale because its architecture allows parallel processing of independent transactions. It also uses the Mysticeti consensus protocol that achieves transaction finality in just 390 milliseconds.
Sui price has also grown as its network attracted more activity. Data shows that the Sui network has achieved a total value locked (TVL) of over $2.83 billion, making it one of the biggest chains in the crypto industry.
The biggest dApps in th Sui network are Suilend Protocol, NAVI Protocol, Cetus, Haedal, Bluefin, and Scallop.
Sui has beaten some of the most popular players in the crypto industry. For example, Cardano, whose ADA token has a market cap of over $25 billion, has less than $500 million in TVL. Sui has also beaten top crypto projects like Near Protocol and Algorand.
The DeFi TVL has limits when it comes to analyzing a project’s success, since some of the funds locked in there will never be moved. A good example of this is Harmony, a dead project that has over $2.27 million in assets.
Two of the best metrics to look at are stablecoins and DEX transactions. In Sui’s case, the stablecoin market cap is nearing the $1 billion milestone. Sui has also become one of the biggest players in the DEX industry as the volume has soared by over 45% in the last seven days to $4.25 billion. It has handled $91.4 billion in assets since inception.
Sui price technical analysis
Sui price chart | Source: TradingView
The daily chart shows that the Sui token peaked at $4.2557 this week and then pulled back to the current $3.78. This price was notable since it was its highest level on January 31st.
The coin remains between the 38.2% and 23.6% Fibonacci Retracement level. It has remained above the 50-day and 100-day Exponential Moving Averages (EMA).
The coin will likely bounce back in the coming days. If this happens, the next point to watch will be at $4.254. A move above that level will point to more gains pointing to the year-to-date high of $5.3721.
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