SUI Faces Resistance at $4 While TVL and User Growth Continue to Climb

SUI Total Value Locked surged by 70 percent to $2.06 billion, reflecting growing investor participation and platform confidence.

The number of total SUI accounts rose by 35.24 percent in 30 days, pointing to faster user adoption and rising network activity.

Despite strong fundamentals, SUI faces price resistance near $4, with bearish RSI divergence and lower highs indicating short-term market hesitation.

Sui (SUI), a fast-growing altcoin, is currently hovering around the $3.88 mark after a recent 3.05 percent dip. The token is facing firm resistance near the $4 threshold, a level it has tested but failed to break decisively. This price ceiling has emerged as a critical barrier, shaping the short-term direction of the asset.

Market analyst Trader_XO identified a bearish divergence on the Relative Strength Index (RSI), suggesting fading upward momentum. The altcoin was previously rejected at $4.24, pulling back to a low of $3.68. According to his assessment, unless SUI breaks and holds above the $3.92 to $4.00 range, a broader correction could follow. Key support levels remain at $2.83 and $1.83 if the decline deepens.

Short positions increase amid cautious sentiment

Trader_XO confirmed initiating a short position near recent highs due to weakening price structure. He indicated that failure to reclaim the $4 mark might extend the bearish trend through the upcoming quarters. Price action continues to show signs of consolidation under resistance levels, limiting immediate upside.

In contrast, market fundamentals around the SUI network remain solid. Analyst Michael Van de Poppe pointed to a series of higher highs on the chart, signaling a positive long-term structure. More notably, the Total Value Locked (TVL) on the SUI network recently surged 70 percent, reaching $2.06 billion. This reflects increasing investor confidence in the protocol.

User adoption sees rapid acceleration

Additional data shows that the total number of accounts on the SUI network has climbed to over 190 million, marking a 35.24 percent increase in just one month. This growth is largely driven by active protocols like WAL and DEEP, which are gaining momentum within the DePIN category.

While SUI’s technical outlook remains cautious in the near term, strong network growth and rising user participation could influence its longer-term market position.

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