Sui (SUI) price at $3.885 jumped 21% on May 8, with the Bitcoin price surge to $104k fueling altcoins rally. As Meta restarts stablecoin discussions, the spotlight is back on Sui with technical signals projecting a 60% rally ahead. Additionally, supporting this double-digit projection is the token’s network expansion and open interest surge.
After closing the gates on the Diem project in 2022, Meta now revisits the stablecoin segment. But is it too late now? Under the new leadership of Ginger Baker, Meta’s new VP of Product, early discussions on stablecoin usage for global creator and business payouts are back on the table. The company might plan to utilize stablecoins on platforms like Instagram as a flexible option for low-cost, cross-border payments.
Notably, Sui is in the spotlight with Meta’s stablecoin discussions, as Diem’s top engineers later founded Sui and Aptos. With a unique technological lineage to Meta, a sentimental boost fuels the SUI price rally.
SUI Price Breakout Aims To Surpass $6
Sui price action between $2.08 and $3.87 rallied 86% in April and then consolidated for a week to test the $3.18 support. This price action is known as a bull flag, with the 86% rally termed as the flag pole and the consolidation as the flag. This technical formation is a bullish one and forecasts a continuation of the prior trend.
The bull flag target for SUI price is obtained by adding the pole’s height of 86% to the breakout point of $3.36. This shows that the theoretical target for the token is $6.26. Based on this, Sui is expected to witness a 60% upside from the current market price.
The Relative Strength Index at 65.82 sirens gradual growth in the underlying bullishness. Additionally, the Chaikin Money Flow index at 0.18 shows positive flows fueling the SUI leap. Hence, the technical signals and price analysis back the possibility of Sui price printing a new all-time high.
As per the trend-based Fibonacci levels, the SUI price hit the 38.20% level at $4.01 before witnessing a 5% pullback. However, the pattern breakout bolsters SUI price prediction to cross the 100% level. Such a scenario will put the 161.8% Fibonacci level at $8.46 on bullish radars.
SUI Price Chart
On the flip side, the present price movements signal strong support at $3.67 and $3.18. If the Sui price fails to hold $3.18, the bull flag will be nullified, risking a $2.78 retest.
Sui Network Expansion Hits Record High Transactions
With the market price surge, the Sui ecosystem expansion gains traction. According to SuiScan, transactions over Sui have crossed the 10 billion milestone, projecting increased adoption. Additionally, DeFiLlama shows the Sui Total Value Locked (TVL) at $1.76 billion inches closer to its record high at $2.08 billion.
Sui TVL
Open Interest Hits New All-time High at $1.86 Billion
With growing fundamentals and technical strength, the bulls flock to SUI derivatives, anticipating a longer uptrend. As per Coinglass, the Sui Open Interest (OI) hit a new record high at $1.86 billion with a 30% jump. This translates to increased activity and heightened possibility of a leverage-driven pump in market prices.
SUI Open Interest
The OI weighted funding rates fail to mirror the OI surge and remain almost stagnant near 0.0074%. Hence, aggressive funding is yet to enter the space.
The post Sui Price Eyes 60% Rally as OI Hits $1.8B Record High Amid Meta’s Stablecoin Plans appeared first on CoinGape.
