SUI Price Drops 8% to $3.96 as SEC Delays ETF Decision and Dollar Strength Pressures Market

Quick Take

• SUI currently trading at $3.96 (-8.15% in 24h) • SUI RSI at 57.07 shows neutral momentum with bearish MACD divergence • SEC delays Canary SUI ETF decision while Total Value Locked hits record $2.28 billion

What's Driving Sui Price Today?

The SUI price faced significant headwinds over the past 48 hours, dropping nearly 6% initially on July 28th before extending losses to 8.15% today. The primary catalyst has been the SEC's decision to delay ruling on the proposed Canary SUI ETF, which triggered a 2.7% immediate decline and continued bearish sentiment among traders.

Adding to the pressure, a stronger U.S. Dollar Index (DXY) has weighed on the broader cryptocurrency market, with SUI price retreating from its recent high of $4.44 to current levels around $3.96. The 24-hour trading range of $4.32 to $3.88 on Binance spot markets reflects the increased volatility, with trading volume surging to $332.7 million.

Despite these negative catalysts, institutional adoption continues to build momentum. Mill City Ventures announced the addition of SUI tokens to its corporate treasury on July 28th, signaling growing institutional confidence in the Sui blockchain ecosystem. Additionally, Sui's Total Value Locked reached a record $2.28 billion on July 27th, with Open Interest spiking to $2.66 billion, indicating sustained DeFi growth despite short-term price weakness.

KuCoin's SUI ecosystem campaign, running through July 28th with rewards for spot trading and staking activities, has also contributed to increased network activity, though it hasn't been sufficient to offset the broader market pressures affecting SUI price action.

SUI Technical Analysis: Mixed Signals Point to Consolidation

Sui technical analysis reveals a complex picture with conflicting signals across different timeframes. The SUI RSI currently sits at 57.07, placing it in neutral territory and suggesting neither overbought nor oversold conditions. This neutral RSI reading indicates that despite the recent 8.15% decline, SUI hasn't reached oversold levels that might trigger immediate buying interest.

The MACD indicator shows bearish momentum building, with the MACD line at 0.2237 sitting below the signal line at 0.2315, creating a negative histogram of -0.0078. This bearish MACD divergence suggests that selling pressure may continue in the near term, particularly if SUI price fails to reclaim key resistance levels.

SUI's moving averages paint a more optimistic medium-term picture. The current price of $3.96 trades above the 20-day SMA at $3.85, 50-day SMA at $3.27, and 200-day SMA at $3.21, maintaining the overall uptrend structure. The EMA 12 at $3.92 and EMA 26 at $3.70 also support the bullish bias on longer timeframes.

Bollinger Bands analysis shows SUI trading with a %B position of 0.6190, indicating the price sits closer to the upper band at $4.34 than the lower band at $3.36. This positioning suggests that despite recent declines, SUI maintains relatively strong momentum compared to its 20-day average.

Sui Price Levels: Key Support and Resistance

Based on Binance spot market data, SUI faces critical technical levels that will determine its next directional move. The immediate resistance level sits at $4.44, which represents both the recent high and a key psychological level that bulls must reclaim to resume the uptrend.

Sui support levels show more substantial backing, with immediate support at $3.06 providing the first line of defense for bulls. This level aligns with previous consolidation zones and represents approximately 23% downside from current prices. Should this level fail, Sui strong support emerges at $2.29, marking a more significant retracement but still well above the 52-week low of $1.92.

The SUI/USDT trading pair shows a pivot point at $4.05, just above current levels, suggesting that a move back above this level could signal renewed bullish momentum. The daily ATR of $0.30 indicates moderate volatility, providing traders with clear risk parameters for position sizing.

Traders should note that SUI resistance at $4.44 coincides with the Bollinger Band upper level at $4.34, creating a confluence zone that may prove challenging to break. A sustained move above these levels could target the 52-week high of $5.29, representing approximately 34% upside potential.

Should You Buy SUI Now? Risk-Reward Analysis

The current risk-reward profile for SUI presents different opportunities depending on trading timeframes and risk tolerance. For aggressive traders, the neutral SUI RSI and support above key moving averages suggest a potential bounce trade, with stops below $3.06 and targets near $4.44 offering a favorable 3:1 risk-reward ratio.

Conservative investors might wait for either a deeper pullback to Sui support levels around $3.06 or a confirmed breakout above $4.44 resistance. The record TVL of $2.28 billion and institutional adoption by Mill City Ventures provide fundamental support for longer-term positions, though the SEC ETF delay creates near-term uncertainty.

Swing traders should monitor the SUI/USDT pair for a reclaim of the $4.05 pivot point, which could signal the end of the current correction phase. The strong support at $2.29 provides substantial downside protection for those willing to hold through potential volatility.

Risk management remains crucial given the mixed technical signals. Position sizes should account for the daily ATR of $0.30 and potential continuation of the bearish MACD momentum. Traders should also consider that despite the 8.15% decline, SUI price remains well above its 52-week low, suggesting the long-term uptrend structure remains intact.

Conclusion

SUI price action over the next 24-48 hours will likely depend on broader market sentiment and any developments regarding the SEC ETF decision. The combination of neutral RSI levels and strong fundamental metrics suggests this pullback may represent a healthy correction within the larger uptrend rather than a reversal. Traders should watch for either a bounce from current levels near $3.96 or a test of the $3.06 support zone to determine SUI's next directional move. The record TVL and institutional adoption provide a bullish backdrop, but near-term price action will depend on technical factors and broader crypto market conditions.