SUI Faces Rejection at $3.45 as Bearish Signals Mount: Will it Drop?

• SUI rebounds 2% to $3.25 but struggles against $3.45 resistance zone.
• Technical indicators point to potential retest of $3.03 support level.
• Network TVL recovers to $1.75 billion while stablecoin market cap grows 8%.

SUI faces strong rejection near the $3.45 resistance level as bearish technical signals accumulate across multiple timeframes. Despite recent network growth metrics, price action suggests the prevailing downtrend could extend toward the $3 psychological support level.

The 4-hour chart reveals SUI’s failure to overcome the $4.20 resistance, triggering an ongoing correction phase characterized by lower high formations. A local resistance trendline has formed, with SUI bottoming at $3.03 support last week before attempting to challenge this declining boundary.

Current price action faces multiple obstacles, including a support-turned-resistance zone spanning $3.33 to $3.44 alongside the 50-period EMA at $3.41. These converging bearish elements create a formidable barrier that has contained recent recovery attempts.

SUI EMA configuration turns bearish

Technical indicators support the downside case, with the 100-period and 200-period EMAs approaching a negative crossover that would confirm bearish momentum. This potential death cross typically signals extended selling pressure across medium-term timeframes.

The 4-hour RSI continues struggling to break above the midpoint level, indicating weakening bullish momentum despite today’s modest gains. This oscillator behavior suggests buyers lack conviction needed to drive sustained recovery.

Price action analysis points to a likely retest of the $3.03 crucial support level if current resistance holds. A decisive 4-hour close below this support could trigger deeper correction toward the 50% Fibonacci level at $2.71, extending losses beyond recent ranges.

Conversely, a break above the 23.60% Fibonacci level at $3.45 would reinstate bullish trend prospects for SUI. Such a move could target the $4.20 resistance level, though multiple overhead barriers suggest this scenario faces challenging execution requirements.

SUI derivatives markets reveal mixed sentiment as traders await directional clarity. Open interest has increased 1.72% to reach $1.43 billion, indicating growing participation despite price uncertainty.

However, 24-hour liquidation data shows nearly balanced positioning, with long liquidations at $769,000 compared to $749,000 in shorts. This equilibrium suggests traders remain hesitant to commit to either direction until SUI establishes a decisive trend.

The derivatives positioning indicates market participants are adopting wait-and-see approaches rather than aggressively betting on immediate breakouts or breakdowns.