Sui price faced a backlash after rumors of an insider selling $400 million worth of SUI tokens. Although Sui Foundation tried to clear the air, the crypto community is not satisfied with the response. While developments surrounding the allegations continue, SUI price action hints at a massive bullish formation that forecasts a breakout rally to $100. Is this bullish outlook possible amid insider selling allegations? Let’s find out.
Sui Price Today
Despite the controversy, SUI price has continued to rise. The price of SUI today is up by 3.4% in the last 24 hours, trading around $2.10. This increase is likely due to Bitcoin price surging above $68,000 on Wednesday, Oct. 16, pulling the entire crypto market up with it.
Understanding the $400 Million Insider Selling Allegation
Recent allegations of insider selling involving SUI have certainly stirred up quite a bit of controversy. Pseudonymous crypto analyst Light revealed on social media that wallets linked to the SUI initial coin offering (ICO) sold over $400 million worth of tokens during a recent price surge.
One thing that I’ve found more and more baffling in the last few weeks is the vertical ascent of SUI, with it quintupling off the lows (Ex 1). The market is starved for winners, and believes it has found one here, yet it all feels awfully chintzy for two reasons that I think feed… pic.twitter.com/VKISXpdxp1
— light (@lightcrypto) October 14, 2024
Sui Token Price Analysis Hints $100 Target
Reaching the $100 price target requires a combination of sector-specific growth, key partnerships, and broader market factors, such as a bull market and broader crypto adoption. A crypto analyst has predicted the asset has the potential to soar to $10, and his prediction hinges on several factors:
Sui Token’s Finance and Gaming Adoption
The growth of DeFi and gaming sectors on the blockchain is crucial for the success of the token. Sui blockchain supports high throughput and low fees, making it attractive for developers and users to build and use these two key sectors. DefiLlama data shows that price always follows a chain’s TVL growth.
Gaming and DeFi are likely to bring in the value needed to boost the asset’s price to $100.
Sui Foundation’s Partnerships
Strategic partnerships with major players in the finance and gaming industries can significantly boost the asset’s visibility and adoption. For instance, collaborating with established gaming companies can lead to the development of innovative blockchain-based games that attract a large user base.
A good example is the Telegram Mini-app Ton-based game Watbird, which partnered with the $35 billion giant Animoca Brands, attracting over 9 million monthly users. Most recently, Animoca Brands announced the buyback of WAT tokens from the market in an effort to create scarcity and boost its price.
Similarly, partnerships with financial institutions can facilitate the integration of SUI into various financial services, increasing its utility and demand
Institutional Investors and Regulatory Gain Clarity
Institutional investors play a vital role in the cryptocurrency market. Their entry into the ecosystem can significantly boost its price. Recently, Grayscale launched an SUI investment trust, signalling growing institutional interest in the token. Additionally, regulatory clarity is essential for attracting institutional investors. Clear and favourable regulations can create a more stable and predictable environment for cryptocurrency investments, encouraging institutions to invest in the asset.
SUI Price Analysis: Bulls Eye $4 In the Short-Term
SUI price action displays a rounding bottom pattern, which is a bullish continuation reversal pattern. The price has already broken out of the handle around $2.08, signalling the start of a potentially strong rally.
The next major target and resistance is the measured move of the cup-and-handle pattern at $4.00, representing ~86% upside from the current price level.
The immediate support is now the previous breakout level at $2.08. A retest of this level would offer a low-risk buying opportunity. If the price falls below this support level, it could invalidate the bullish thesis, setting up the stage for lower support zones around $1.00.
Frequently Asked Questions (FAQs)
The price dip was triggered by allegations of insider trading, where it was reported that wallets linked to the SUI ICO had sold over $400 million worth of tokens during a recent price surge.
While some analysts remain optimistic, predicting a potential rally to $100, achieving this target would require a combination of factors such as sector-specific growth, key strategic partnerships, a bull market, and broader crypto adoption.
The current support level of $2.08 could offer a low-risk buying opportunity if it holds. However, a fall below this level may signal further declines.
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Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the video gaming industry. His extensive experience includes collaborating with various startups to deliver insightful and high-quality analyses that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across diverse sectors. Outside of his professional pursuits, he enjoys playing video games and exploring scenic waterfalls.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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