- SUI’s price tests key resistance at $2.10; breakout could signal a rally above $2.40.
- RSI divergence near the macro support level hints at a potential bullish reversal for SUI.
- Falling wedge and RSI divergence suggest SUI might break resistance despite the recent downtrend.
SUI’s price remains under pressure as it tests crucial resistance levels. Following a significant drop from February to April, analysts have noted key technical patterns that suggest possible movements in the asset’s price.
Price Struggles at Resistance Level
SUI has faced persistent resistance after experiencing a sharp decline from its early February highs. Initially priced near $4.20, the asset’s value dropped, forming a descending triangle pattern, and has been unable to reclaim the trendline. The latest price action shows SUI testing resistance, with a breakthrough above $2.10 potentially leading to upward movement.
Source: Crypto VIP Signal
According to the timespan above by Crypto VIP Signal, the inability to reclaim the triangle’s trendline triggered the price drop. He emphasized that the resistance level is being tested again, and a break above $2.10 could lead to an upward rally.
Crypto VIP stressed that confirmation is crucial before entering new positions. He also pointed out that the price action between $2.00 and $2.10 is pivotal in determining the next movement. If the SUI price fails to break above this zone, further downside could follow. He identified multiple horizontal support and resistance levels that will act as key decision points for traders.
RSI Divergence Suggests Potential Reversal
On the other side, AltCryptoGems’ Sjuul shared a very different view on the technical setup of the asset. He signaled a strong bullish divergence on RSI, revealing the possibility for reversal. Similar to the same situation over the summer season, when the asset broke above a macro-support level.
Source: Sjuul AltCryptoGems
Sjuul indicated that the RSI was making higher lows while the price continued to make lower lows, a healthy bullish divergence sign. This trend emerged around the same macro support level, making its significance even more pronounced. He noted that the breakout led to a strong rally last year, and the same type of rally can be seen if SUI breaks the present resistance.
The analyst indicated a breaking falling wedge formation, which will usually be a sign of probable bullish reversal after some consolidation. He labeled substantial support at $1.00 and resistance at $2.40. According to Sjuul, these levels have proven significant throughout SUI’s price action, serving as pivot points in past cycles.
Both analysts have highlighted the challenges SUI faces in breaking resistance but also noted that key technical indicators, like the RSI divergence, suggest the possibility of a reversal. Despite the bearish trend, these findings suggest that SUI’s price may test resistance levels once more before making any substantial move.
