The cryptocurrency Sui (SUI) is maintaining its bullish trajectory, showing strong signs of upward movement despite facing some short-term volatility. While the coin consolidates below the $4.00 mark, recent technical indicators and liquidation data point toward the possibility of higher prices in the near future. As of today, Sui’s price is holding steady around $3.65, supported by key market dynamics that suggest the potential for future growth.

Sui’s Bullish Market Structure: Key Support Levels in Focus

Sui has shown impressive resilience in its upward movement, maintaining a bullish outlook since its rally began in early August. During this time, the digital asset has encountered only shallow pullbacks, which has allowed it to establish a clear upward trend. Presently, SUI is trading within a range between $3.1 and $3.94, with the mid-point at $3.52 emerging as a key reference for traders monitoring the market’s movements.

This consolidation phase, which has lasted for several weeks, suggests a period of accumulation. It’s clear that market participants are actively holding their positions, creating a balance between buying and selling pressure. Despite the lack of immediate upward momentum, the market structure remains bullish, with each pullback finding solid support at crucial levels.

The critical support levels to watch are $2.82 and $2.97. These levels have become key markers for sustaining the bullish trend. Should SUI dip below these points, it may signal a potential shift in market sentiment, but for now, these levels continue to act as strong price points where buyers are stepping in.

RSI and On-Chain Metrics Back Bullish Momentum

One of the most important technical indicators supporting Sui’s bullish case is the Relative Strength Index (RSI), which is currently positioned at 60. This is above the neutral 50 mark, signaling that momentum remains on the bullish side. Notably, this position has been maintained for the last four consecutive weeks, reinforcing the strength of the upward trend.

On-chain data further confirms the positive outlook. The On-Balance Volume (OBV) indicator shows consistent buying pressure, suggesting that market participants are more inclined to accumulate rather than sell. However, the Money Flow Index (MFI) has dipped slightly over the past ten days, indicating a temporary pause in buying activity. This could point to a period of market digestion before any significant price movement resumes.

Recent Price Action and Open Interest Trends

The past week has witnessed some fluctuations in market behavior. On December 3rd, Sui saw a sharp price increase, which was followed by a rise in Open Interest—a measure of the number of contracts or positions held by traders. However, within the next 20 hours, Open Interest dropped by a substantial $45 million, signaling that some traders opted to take profits rather than continue holding their positions.

This decrease in Open Interest suggests that while bullish traders remain active in the market, there is some caution amid the ongoing consolidation. The market may be experiencing a brief period of profit-taking as traders reassess their strategies in the face of short-term volatility.

Key Liquidation Levels and Future Price Targets

A look at liquidation data reveals two critical price levels that could significantly influence SUI’s future price action. There is a concentration of liquidation orders around the $4.00 price point, with another significant cluster at $3.17. These levels could serve as potential targets for price movement, especially if there is an increase in market volatility.

Market analysts have observed that range-bound markets—such as the one currently observed with Sui—tend to break out after a period of consolidation. This often involves a temporary dip below support levels before prices move higher. With this in mind, traders should be prepared for potential price swings toward levels like $3.5 or even $3.2 in the short term.

Volatility and Market Participation Patterns

Volatility in cryptocurrency markets is inevitable, but current market patterns indicate that Sui’s consolidation phase may be paving the way for a larger price move in the future. The reduced volatility during the past few weeks could be seen as a precursor to a more significant move once market participants decide whether to push prices higher or take profits.

Despite some signs of reduced buying pressure, trading volume remains healthy. There has been a steady level of participation, with recent consolidation being marked by lower volatility compared to previous bullish moves. This indicates that while price action has slowed, there is still considerable market interest in SUI, particularly among long-term investors.

Support Levels Continue to Hold Strong

One of the key takeaways from Sui’s recent price movements is the strength of its support levels. The $3.52 mark, which was previously resistance, has now transformed into support, highlighting the bullish control over short-term price action. This shift suggests that the overall market sentiment is leaning more positively toward the digital asset.

Support levels at $2.82 and $2.97 have also held firm, indicating that there is strong buyer presence at these levels. The consistency of these support zones is a good sign for traders looking for potential entry points, as they offer relatively low-risk opportunities for entering the market.

What’s Next for Sui (SUI)?

As Sui trades near $3.65, market participants are closely watching for any signs of a breakout from the current consolidation phase. The recent price action has suggested a temporary pause, but the underlying bullish trend remains intact. Traders are also paying attention to key technical indicators, such as the RSI and OBV, which are signaling continued upward momentum despite recent volatility.

The market will likely remain range-bound for the immediate future, with support at $3.2 and resistance at $4.00. However, with liquidity data pointing toward possible price movements around these levels, SUI’s next major move could see it either break above $4.00 or dip back toward the $3.0 level.

For now, Sui remains a cryptocurrency to watch, especially for those who believe in its long-term potential. Its market structure is bullish, and the consolidation phase provides a healthy environment for accumulation, with key technical levels offering valuable insights into its future price trajectory.