SUI Price Forecast: SUI Could Rally to $5 If Bitcoin Rebounds

Highlights:

• SUI is in a minor correction after hitting a high of $4.49
• Correction triggered by a correction in Bitcoin’s price intra-day
• A Bitcoin rebound could see SUI rally to $5 short-term

SUI was one of the best performers among the top 20 cryptocurrencies in the last 24 hours. The Bitcoin rally to $103k uplifted SUI as well, pushing its price above the critical $4 psychological resistance level. However, like the rest of the market, SUI appears to be losing steam intra-day. This can be attributed to the sharp correction in Bitcoin’s price that has seen the price drop from $103k to $92k in a span of hours.

However, Bitcoin appears to be on a rebound, which means altcoins could follow as well, and that includes SUI. At the time of going to press, SUI was trading at $4.18, but overall it is still up 8% in the day. SUI trading volumes are on a sharp rise, up by 77% to hit a high of $4.60 billion in the day. This is an indicator that investors are keen on SUI and potentially expect it to make bigger moves than what is being experienced by most of the other top altcoins.

SUI Addition to Phantom Wallet a Big Deal

This is in line with the big news that has hit SUI in the same period that bulls are taking control of the market. Yesterday, the top Solana wallet, Phantom, announced that it was expanding its offering to include SUI. This is a big deal considering that Phantom is one of the biggest wallets in the market today. 

You asked, we delivered @phantom coming to #SUI https://t.co/EMmtkWXshv

— Adeniyi.sui (@EmanAbio) December 5, 2024

Phantom has more than 7 million users, and this mean a bigger exposure for SUI in the short term. The FOMO around the Phantom news could help hold up SUI even as the broader market goes into a short-term uncertainty phase.

SUI FOMO Is Building Up on Social Media

However, it is not just the Phantom wallet that is driving the momentum around SUI. There is also the fact that SUI FOMO is building up on social media. On X, multiple posts are coming up with impressively high targets for SUI. Some are even predicting that SUI could hit $100 or higher in this cycle. 

While such predictions may not necessarily come true, they serve to drive the positive sentiment around SUI. This is especially the case now that SUI has opened a new frontier with its rally through $4. The result is that SUI could be headed for a new rally to new highs in the short to medium term, as investors anticipate an even bigger rally in the short term.

SUI Still Riding Franklin Templeton Partnership Momentum

At the same time, SUI could be propelled higher by the fact that it has strong institutional backing. On November 22, SUI entered into a partnership with Franklin Templeton, a $1.5 trillion investment fund. This move was a big deal for SUI in two ways. First, it created the right impression about SUI amongst investors. 

JUST IN: @SuiNetwork forms strategic partnership with $1.5 trillion asset manager Franklin Templeton. Franklin Templeton has invested in the #Sui ecosystem and this partnership will allow builders to deploy novel technologies onchain. pic.twitter.com/a4Yzg7V2Ir

— Adeniyi.sui (@EmanAbio) November 22, 2024

This is likely to see more investors FOMO into SUI once Bitcoin pushes the broader cryptocurrency market back into positive territory. There is also the fact that the partnership will help draw more builders into SUI, which will entrench SUI as one of the best layer-1 networks in the market. This could help propel SUI’s price higher as more investors start to appreciate its value.

Technical Analysis – SUI Price Trending Towards Critical Support

From the charts, SUI is in a correction after a rally that saw it hit a high of $4.49 yesterday. The correction triggered by Bitcoin’s sharp drop is pushing SUI towards the $4.06 intra-day support. A push through this support could see SUI drop to prices below $4.

However, if the $4.06 support holds and there is a rebound, the key level to watch would be the 24-hour high of $4.49. A rally through $4.49 could see SUI rally to $5 in the short term.

How SUI plays out in the short term will depend on how Bitcoin trades. If Bitcoin rallies back through $100k, it could trigger a SUI rally to $5 or higher.