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- Sui gained 7% in the past day to $3.94 intraday high.
- A massive unlock on August 1 sparks fears of potential bearish pressure.
- Holdings above $0.275 could support imminent breakouts.
Digital currencies saw mild gains on Friday as the global crypto market cap increased by 0.55% the previous 24 hours to $3.9 trillion.
While most alts signal recoveries, $SUI led today’s gainers with an over 7% surge to $3.94.
The uptrend has excited enthusiasts who are watching for new breakouts.
Nevertheless, the upcoming $173 million $SUI unlock on August 1 has dented investor confidence due to potential selling pressure after the massive token release.
Can the altcoin withstand the bearish storm?
$SUI’s August 1 unlock
Token unlocks are usual in the cryptocurrency market, but they often trigger anxiety as they can influence short-term price actions.
Sui’s upcoming unlock isn’t an exception.
According to Tokenomist, Sui will release 44 million tokens, worth around $173 million at current prices, on August 1.
That’s a massive figure, especially considering the prevailing broad market uncertainty and $SUI’s market dynamics.
Significant token unlocks flood the markets, possibly introducing substantial selling pressure when recipients offload part of their balances.
In Sui’s case, the $173 million unlock could test its current momentum.
The altcoin trades at $3.95, and participants would now closely watch the ‘reliable’ support barrier at $3.75.
The foothold has previously held strong amid pullbacks.
If $SUI holds $3.75 throughout unlock-driven volatility, it would be an optimistic signal.
Healthy performance after token release will indicate impressive demand despite the surge in supply.
Such an outlook would position Sui as a maturing blockchain unbothered by short-term events.
Bulls could hold the line after July’s robust performance
The primary question remains whether buyers can maintain control amidst the supply shock.
The latest uptick to $3.94 has renewed optimism about another breakout.
However, $SUI should hold above the support at $3.75 to absorb the upcoming token supply without panic selling.
Meanwhile, $SUI heads into August after an impressive monthly performance, which will likely add upside steam.
Sui’s total value locked closed July with a fresh all-time high above $2 billion after stable uptrends since late June.
A surging TVL is crucial since it confirms the chain’s overall financial health, highlighting increased adoption and growth.
It is a key liquidity indicator.
More total value locked makes it easier for individuals to execute trades without substantial price slippages.
Also, $SUI’s decentralised exchange (DEX) volume hit record highs of $14.3 billion in July.
$SUI’s current price outlook
The altcoin displayed impressive recoveries after hitting a low of $3.69 yesterday.
$SUI trades at $3.94 with a 15% uptick in trading volume, demonstrating a possible momentum shift to the upside.
Short-term technical indicators suggest a buyer comeback.
The MACD has just made a bullish crossover with the signal line on the 3H timeframe.
Moreover, the RSI at 52 suggests neutral sentiments as bulls look to flip the script.
Holding $3.75 amid the looming unlock might support uptrends to the Monday high near $4.35, opening the path to $5.