With SUI falling further into bearish territory, technical indicators are increasingly pointing to a challenging path ahead. The key gauge, the Relative Strength Index (RSI), has turned negative, indicating that selling pressure is mounting and further downside may be on the horizon. As SUI deals with this bearish shift, market participants are closely monitoring potential support levels, wondering if the asset can stabilize or if sellers will continue to push prices lower.
This analysis explores SUI’s recent entry into bearish territory, and considers the implications of a bearish RSI shift and the potential for further price declines. It also seeks to provide insight into the downside risks facing SUI by assessing key technical indicators and support levels, this piece.
Market Overview: SUI has turned into a bearish zone
On the 4-hours chart, SUI is showing strong bearish momentum, falling below the 100-day simple moving average (SMA) as it approaches the $1.4 mark and forming multiple bearish candlesticks. The 100-day simple moving average, typically a major support level, is acting as resistance, indicating a shift in sentiment as sellers have gained the upper hand.
Analysis of the 4-hour Relative Strength Index (RSI) reveals that the indicator has now fallen to a low of 23% after the previous recovery attempt failed to hold at 52%. With the RSI now in the oversold territory, selling activity may extend excessively, and unless a significant influx of buying interest emerges, the SUI may remain under pressure, which could lead to additional declines.
Also on the daily chart SUI is showing a clear bearish trajectory as it heads lower towards the $1.4 mark and approaching the 100-day simple moving average. The $1.4 level, along with the 100-day simple moving average, is acting as a crucial support area, and a break below these points could reinforce the current downtrend, which could open the door for further declines.
Finally, the daily RSI for SUI fell to 42%, falling significantly below the critical 50% threshold, which usually separates the bullish zone from the bearish zone. Typically, this decline highlights strong downward momentum, indicating that sellers are firmly in control and reflects growing pessimism about the SUI price.
Potential Price Targets: How Far Can SUI Price Drop?
As SUI continues its negative movement, traders need to identify potential price targets. If the $1.4 support level is broken, the SUI may fall to $1.23, where buying interest may resurface. An extended decline below this level may lead to a deeper correction towards other support levels.
Conversely, if the cryptocurrency manages to maintain its position above $1.4, it could signal a potential reversal, enabling bulls to regain some control in the market and thus push the price higher towards the $2.1 resistance level and beyond.
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