SUI ranks in the top 5 for DEX volume but lacks trend strength to sustain the upward momentum.

The SUI Blockchain has drawn significant attention in recent weeks, with its market capitalization nearing the $7 billion threshold. Driven by the activity of meme coins and increasing participation in DeFi, the network has witnessed a substantial rise in trading volume on DEX platforms and technical momentum.

Although indicators such as RSI and the EMA line show initial signs of a potential trend change, the overall strength remains unclear. SUI is at an important crossroads, supported by short-term enthusiasm but still needing stronger confirmation to challenge the leading chains.

SUI rises to the top 5 in DEX volume, but still lags behind top chains

The recent increase in SUI's DEX activity has drawn attention, mainly due to the growing interest in meme coins and speculative trading within its ecosystem. Over the past seven days, SUI's DEX volume has reached $2.1 billion, marking a 4.49% increase and continuing a stable upward trend.

Thanks to this momentum, SUI has surpassed several other ecosystems, most notably surpassing Arbitrum in the past 24 hours to become the fifth largest chain by DEX volume.

However, despite the short-term gains, SUI still lags behind leading networks such as Base, BNB Chain, Ethereum and Solana in terms of total DEX activity. These established ecosystems continue to dominate in terms of liquidity, user base, and total trading volume.

Source: DeFiLlamaAlthough the rise of SUI is noteworthy, especially with its relatively new position in the DeFi ecosystem, it will need to sustain this growth and diversify beyond the hype of meme coins to truly challenge the top players. Currently, SUI remains an interesting contender with strong momentum—but not yet a major competitor.

The momentum of SUI is recovering, but the trend remains weak

The RSI of SUI is currently at 51.86, up from 35.22 just three days ago. This suggests that buying pressure has returned after a short-term decline, helping to stabilize price action. The RSI measures momentum on a scale from 0 to 100, with readings above 70 considered overbought and below 30 considered oversold.

Source: TradingViewAt an almost average level, the RSI of SUI shows neutral momentum, and has not exceeded the level of 70 for nearly a month, indicating that bullish strength is still limited.

Meanwhile, DMI (Directional Movement Index ) of SUI shows that the ADX has dropped to 9 from 14.79 just two days ago. ADX measures trend strength, and a value below 20 indicates a weak or non-existent trend.

Source: TradingView +DI at 15.83 while -DI at 13.15 means buyers have a slight advantage, but low ADX indicates that advantage is not strong. There is no clear trend dominating the market currently.

Both RSI and DMI indicate that SUI is in an accumulation phase. Buyers are showing some activity, but it's not enough to build a strong, sustainable trend—at least not at the moment.

The EMA setup is still declining, but SUI shows signs of improvement

The EMA lines of SUI still show a bearish setup, with short-term averages below long-term levels. However, the gap between them has narrowed and may be forming a Golden Cross.

A Golden Cross occurs when a short-term EMA crosses above a long-term EMA, often seen as a bullish signal. If this happens, SUI could gain momentum and move towards the resistance level of $2.28. A break above that level could pave the way to $2.41 and $2.54. If the bullish momentum continues, the SUI blockchain could even test the level of $2.83—the highest since early March.

SUI Price Analysis | Source: TradingViewHowever, if the market cannot maintain the current levels and selling pressure returns, a correction may begin. In that case, it could revisit the support level of $2.02. Losing that support level could lead to a deeper decline, potentially pushing SUI towards $1.71. Currently, price action is at a critical point, with both breakout and decline scenarios possible.

Disclaimer: This article is for informational purposes only and is not investment advice. Investors should conduct their own research before making any decisions. We are not responsible for your investment decisions.

Mr. Giáo