Sui (SUI) has been on a bullish streak recently, trading at $1.9 as October begins, following significant gains in September. With momentum still strong, several on-chain indicators suggest that SUI’s upward trajectory may continue. In this article, we’ll explore three key reasons why Sui could keep rallying: an all-time high (ATH) in Total Value Locked (TVL), rising open interest in its futures market, and a significant increase in daily active addresses.

1. Sui’s Total Value Locked Hits Record High

One of the strongest indicators of Sui’s ongoing success is the sharp rise in its Total Value Locked (TVL). According to data from Defi Llama, Sui’s TVL reached a new ATH of $1.05 billion on October 1, up from $663.87 million in mid-September. This massive jump represents growing interest and activity within Sui’s blockchain ecosystem, as more users deposit or lock their assets in SUI-based decentralized finance (De Fi) protocols.

For blockchain ecosystems like Sui, a rising TVL is typically a bullish signal because it indicates that more value is being transferred or utilized within the network. As the number of users and assets locked in Sui’s ecosystem increases, the platform’s overall utility grows, further driving demand for SUI tokens. This has led to optimism that the token’s recent price rally could be sustained in the coming weeks.

2. Rising Open Interest in SUI Futures Signals New Buying

Another major factor behind Sui’s bullish momentum is the significant rise in open interest (OI) for SUI futures. Open interest refers to the total number of active derivative contracts that have not been settled or closed, and it serves as an important indicator of market sentiment. A rising OI generally signals that more traders are entering the market and placing bets on the asset’s future price movements, which often points to bullish sentiment.

Data from Coinglass shows that Sui’s open interest climbed from $418.73 million on September 24 to $553.82 million by the end of September, marking the highest level of futures open interest since May. This surge in OI indicates that fresh capital is flowing into the market and new buying is occurring, which further supports the idea that SUI’s price rally could have legs.

When more traders enter long positions (bets that the price will rise), it usually suggests strong market confidence. This increased demand can push prices higher, as the influx of buyers drives up the value of the asset. The continued rise in Sui’s open interest reinforces the positive market sentiment surrounding the token and signals that investors remain optimistic about its future performance.

3. Growing Blockchain Activity with Daily Active Addresses on the Rise

The third major factor supporting Sui’s price rally is the growing number of daily active addresses on its blockchain. This metric tracks how many unique users are interacting with the network on a daily basis, and it serves as a strong indicator of overall blockchain usage and demand.

According to data from Artemis, Sui’s daily active addresses surged from 804,400 on September 11 to a staggering 1.6 million by September 24, marking the highest level since late May. This sharp increase in blockchain activity suggests that more people are using Sui’s network, which bodes well for the token’s continued rally.

Rising daily active addresses indicate growing interest in the Sui blockchain, whether through transactions, De Fi participation, or other use cases. As demand for the network’s services increases, so too does demand for the SUI token, pushing its price higher. This metric is a positive sign for Sui’s future, as it shows that the ecosystem is attracting more users and gaining momentum.

Conclusion: Can Sui Maintain Its Bullish Run?

Sui’s ongoing rally is backed by several strong indicators, including record-high TVL, rising open interest, and increased daily blockchain usage. These factors suggest that the bullish momentum behind Sui could continue as more traders, users, and capital enter the ecosystem.

However, like all cryptocurrency markets, volatility remains a key risk. While Sui’s fundamentals appear strong, external factors such as broader market corrections or shifts in investor sentiment could still impact the token’s performance. For now, though, the outlook remains positive for Sui, and investors will be watching closely to see if the rally continues in the weeks ahead.