What Drives SUI’s 120% Surge Amid the Market Downturn?

4 months ago 2

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Sui (SUI) has seen an increase of more than 125% over the past week.
The price of SUI climbed from $0.86 to a 30-day high of $1.07.

While the cryptocurrency market is experiencing a downturn, Sui (SUI) stands out with a significant performance. In the last 24 hours, SUI has soared over 20%, and its weekly gain has reached 120%. This surge comes at a time when the broader market trends are not as favorable, highlighting SUI’s growing investor interest.

The uptick in SUI’s price resulted in Grayscale’s introduction of the “Grayscale Sui Trust” and the transition of Sui Name Service to a decentralized model. This development has not only boosted investor confidence but has also led to a significant increase in SUI’s Open Interest, which has jumped from $56.95 million to $180.97 million in a week.

The significant rise in SUI’s Open Interest suggests that new capital is being invested, indicating strong investor confidence.

Grayscale Trust Launches Spurs Sui’s Surge to $1.07

The launch of new investment trusts by Grayscale, including those for SUI and Bittensor (TAO), has been a key factor driving this momentum. While both SUI and TAO have benefited from increased buying pressure, SUI’s rise has been particularly pronounced as TAO price increases have been muted.

Sui’s price surged from $0.86 to a 30-day high of $1.07. This makes it a notable exception among the top 100 cryptocurrencies, which are generally declining. The surge is further supported by heightened trading activity. Daily trading volumes have reached $610 million, reflecting a 103% increase.

Moreover, the surge in the price of SUI’s let its market cap surpass $2.4 billion and grab 29th place in the market cap. According to the daily price chart, if SUI breaks above $1.10, it could continue to rise, possibly reaching $1.15.

On the other hand, if SUI fails to hold its feet above $1, it could see immediate support at $0.9568, followed by $0.9022.