- SUI breaks out of a descending channel and surges from $1.80 to $5.80, confirming a bullish trend shift with strong momentum.
- A new $4.00 to $5.80 trading range forms as bulls defend support, signaling continued confidence and elevated volatility in price action.
- Price retests critical resistance amid strong candle formations, suggesting potential for another rally if breakout confirmation holds.
According to analyst Captain Faibik, SUI flashes bullish signals after breaking above a key trendline in the daily timeframe. Currently trading at $4.00 to $5.80, the token has maintained its strong upside momentum. This breakout above a long-standing descending channel confirms a trend shift.
The price surged from a low of $1.80 to a recent high of $5.80. This marks the highest level seen since the token’s listing on Binance. The clear rejection of lower prices signals strong buyer interest and increasing confidence in SUI’s long-term trajectory.
Descending Channel Breakdown Sparks Rally
From January to April 2024, SUI moved within a well-defined descending channel. Lower highs and lower lows shaped the structure. The upper trendline consistently acted as resistance, capping upward movements. However, in mid-April, SUI broke past this resistance decisively. Hence, the breakout triggered sharp bullish momentum. The price doubled quickly, moving from $1.80 to over $4.00 in a matter of days.
Moreover, the breakout candle displayed strength with little to no retracement. This immediate continuation pointed to aggressive buying pressure. Besides, the speed of the move reflected market conviction about the breakout’s validity. The strong upward follow-through confirmed the shift in sentiment. Additionally, the breakout invalidated the previous bearish structure.
New Range Forms Amid Heightened Volatility
After hitting $5.80 in May, the price retraced slightly to around $4.00. However, it remains above the previous channel. This signals strong support and validation of the breakout. The pullback was short-lived, indicating continued bullish strength. Consequently, a new trading range between $4.00 and $5.80 has emerged.
Price action within this range features large candle bodies and long wicks. This highlights strong volatility and increased trading activity. However, volume data is unclear, making it tough to confirm participant strength. Still, technicals suggest continued upward pressure. Moreover, bulls are once again testing a trendline resistance. If the price breaks above this level, another epic rally could unfold.
