SUI Faces Key resistance After impressive Rally
After a remarkable 75% surge, SUI is now encountering notable resistance.While the overall trend is still bullish, technical signs hint at a possible pause before further gains.
The recent SUI rally has been driven by strong bullish momentum. Though, the price is now struggling at a critical resistance level. This area combines the range high and the 0.618 Fibonacci retracement, making it a tough barrier to break.
historically, this zone has acted as a ceiling. The current inability to surpass it suggests a swing-failure pattern, indicating a potential short-term pullback. This pullback could be a healthy part of a larger bullish trend.
- Major Resistance: 0.618 Fibonacci retracement and range high
- Support Levels: $2.70 to $2.40 (range mid and VWAP support)
- Trend Structure: Possible wave 3 expansion after a correction
A short-term pullback could create a higher low, with key support levels at the VWAP region, range mid, and 0.618 retracement. These areas may act as launch points for the next upward move.
Currently, the market is in a balancing phase, with buyers and sellers competing around these levels. this often leads to a volatility breakout. Traders should watch for volume spikes and candle formations near support.
While the recent rally was strong, volume has started to decline, supporting the idea of consolidation or a correction. The price is trading within a $2.70 to $2.40 range and may stay there until a clear breakout occurs.
Traders should remain patient. the pullback structure will offer clues about the next move. A break above the swing high would negate the pullback theory, while a bounce from support could signal more upside.
