SUI coin surges 20% rapidly approaching $2 — institutional demand and on-chain activity expansion drive the increase

Source: TokenPost Original Title: SUI(, surging 20% and approaching $2 in 2 months… Institutional demand and on-chain expansion as the background Original Link:

Background of SUI Coin Price Surge

SUI coin has increased by approximately 20% within 24 hours, attracting investor attention. The current price is close to $2, reaching a new high in a month and a half. Its market capitalization has surpassed $7.5 billion, ranking 27th among global cryptocurrencies.

In the overall market uptrend, SUI’s gains are particularly prominent. While major assets like Bitcoin)BTC(, Ethereum)ETH(, and Ripple)XRP( are rising, SUI is driven by dual positive factors: institutional demand and growth in on-chain data, leading to rapid ascent.

Growing Expectations of Breaking $2

Crypto analysts point out that SUI has strongly broken through $1.80, forming a “sound structure” from a technical perspective. On-chain activity has rapidly increased since late November, coupled with factors like ETF applications, indicating substantial institutional interest rather than mere overheating. Analysts predict that breaking $2 could open another upward phase.

Multiple investors forecast that SUI could rise to at least $8 within a few weeks. Some suggest that undervalued tokens like SUI may undergo sharp revaluation during a bull market, potentially expanding its market cap to $30 billion.

Popular analysts believe that SUI may enter a strong phase in Q1 2026, with a target price set at a maximum of $4.44.

Warning Signs: RSI Indicator Shows Overheating

Not all voices are optimistic. Some traders warn that the current price level has entered a high-risk zone, with the possibility of short-term correction. If profit-taking occurs, a pullback could happen quickly.

From a technical analysis perspective, SUI’s RSI)Relative Strength Index( has recently soared to 87. RSI is an auxiliary indicator used to determine whether an asset is overbought or oversold; readings above 70 are interpreted as overbought signals. The 87 level is the highest since July 2023, indicating potential short-term overheating.

Potential for Rise and Downside Risks Coexist

SUI’s recent sharp rise is driven by the combination of token utility and institutional demand, differing from previous bubble-like scenarios. In fact, the SUI development network and community have been gradually expanding since the second half of 2023, supported by expectations for spot ETFs, creating a positive market atmosphere.

However, technical indicators like RSI suggest that short-term selling pressure may emerge, and investors should remain cautious. If the $2 resistance level cannot be broken and a correction occurs, upward momentum could be severely hindered.

Summary Points

Market Interpretation: SUI’s rise is driven by two “substantive reasons”: increased on-chain activity and institutional interest, gaining momentum amid the current overall crypto market rebound.

Strategic Focus: Whether the $2 resistance is broken will be crucial for subsequent trends. Given RSI is in an overheated state, investors should beware of short-term rapid gains leading to a correction.

Terminology Explanation: RSI)Relative Strength Index( is a technical analysis indicator used to assess whether an asset is overbought or oversold. Readings above 70 are interpreted as overbought, below 30 as oversold.