Convergence

Aptos

<p class="is-style-lead">SUI experienced a sharp drop on Oct. 4, emerging as the day’s largest loser, dropping over 15%.</p> 
<p>According to data from crypto.news, Sui (<a href="https://crypto.news/price/sui/" target="_blank">SUI</a>) plummeted from an intraday high of $1.97 on Oct. 3 to a low of $1.62, with its market capitalization falling from $5.46 billion to $4.45 billion. At press time, the token recovered slightly, trading at $1.78, still down 4% over the past 24 hours, with a market cap of $4.92 billion.</p> 
<h2 class="wp-block-heading" id="token-unlock-and-market-volatility">Token unlock and market volatility</h2> 
<p>SUI’s price movement coincided with the unlocking of 64.2 million tokens on Oct. 1, representing 2.4% of the circulating supply. Token unlocks can often trigger volatility as early investors or team members sell tokens to realize profits.</p> 
<p>However, despite the large unlock, SUI’s price correction was relatively contained, likely due to the market’s optimistic outlook on the token, which had already <a href="https://crypto.news/sui-gains-115-in-september-backed-by-ecosystem-growth/" target="_blank">rallied 115%</a> in September.</p> 
<p>The limited impact of the unlock reflects confidence in SUI’s long-term potential, with investors seemingly unwilling to part with their holdings. This sentiment is supported by the rapid growth and increasing utility within the SUI ecosystem.</p> 
<p> You might also like: <a rel="" href="https://crypto.news/solana-base-sui-dex-volume-lead-as-meme-coins-rebound/"> Solana, Base, Sui DEX volume lead as meme coins rebound </a> </p> 
<h2 class="wp-block-heading" id="speculation-on-profit-rotation-to-aptos">Speculation on profit rotation to Aptos</h2> 
<p>Amidst the price correction, some analysts have speculated that traders may have shifted profits from SUI to its close competitor, Aptos (<a href="https://crypto.news/price/aptos/" target="_blank">APT</a>). Both SUI and Aptos are positioned as high-performance layer-1 blockchains, and such rotations between assets are common in the crypto market when traders seek to maximize short-term gains.</p> 
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   <p lang="en" dir="ltr">maybe it's time to rotate from one Solana killer to the next. I've heard that Aptos tech might be even better <a rel="" href="https://t.co/LB8YeLNRBm" target="_blank">pic.twitter.com/LB8YeLNRBm</a></p>— Nay (@gmnay_) <a href="https://twitter.com/gmnay_/status/1841883679263752434?ref_src=twsrc%5Etfw" target="_blank">October 3, 2024</a>
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<p>Despite the recent volatility, SUI’s underlying ecosystem continues to expand rapidly, driven by a surge in developer and user interest.&nbsp;</p> 
<p>Data from DefiLlama <a href="https://defillama.com/chain/sui" target="_blank">shows</a> that the total value locked in the SUI ecosystem has soared to a new high of $1 billion, up from $383 million in August. This growth has seen SUI overtake more established blockchains such as Polygon and Avalanche in TVL rankings.</p> 
<p>Several factors are fueling SUI’s recent growth. Grayscale’s <a href="https://crypto.news/grayscales-sui-trust-opens-for-accredited-investors/" target="_blank">launch</a> of the SUI Trust in September opened the door for accredited investors to gain exposure to the token, adding serious momentum.&nbsp;</p> 
<p>At the same time, SUI’s strategic dive into the blockchain gaming world has turned heads, with Mysten Labs teaming up with Playtron to <a href="https://crypto.news/suis-mysten-labs-starts-preorders-for-new-gaming-console-report/" target="_blank">launch pre-orders</a> for the SuiPlay0X1 console, a web3-native gaming device. Meanwhile, Circle, the company behind USDC, <a href="https://crypto.news/sui-and-moviepass-team-up-for-usdc-integration/" target="_blank">announced plans</a> to bring the stablecoin to the SUI blockchain, boosting its potential for decentralized finance applications.</p> 
<p>Sui’s <a href="https://x.com/SuiNetwork/status/1842000684901892592" target="_blank">latest partnership</a> with Atoma brings decentralized AI to its network, leveraging Sui’s consensus and low transaction fees. The integration enables apps on Sui to incorporate open-source AI models with verifiability guarantees, supporting use cases like code generation, AI-powered non-fungible tokens, and automation in decentralized finance.</p> 
<p>These collaborations seem to have propelled the token into the spotlight, with SUI ranking as a top trending search term on Google since the start of October.</p> 
<h2 class="wp-block-heading" id="sui-shows-signs-of-recovery">SUI shows signs of recovery</h2> 
<p>From a technical perspective, SUI appears to be regaining bullish momentum. On the daily chart, SUI is positioned above the middle Bollinger Band at $1.55, indicating a potential upward trend, while the Relative Strength Index is approaching the overbought level.</p> 
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 <img decoding="async" width="928" height="544" src="https://crypto.news/app/uploads/2024/10/SUIUSDT_2024-10-04_16-32-27.png" alt="SUI price tanks after hitting a six-month high amid market volatility - 2" class="wp-image-14301619">
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  sui price, Bollinger Bands and RSI chart – Oct. 4 | Source: <a href="https://crypto.news/price/sui/" target="_blank">crypto.news</a>
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<p>The Average Directional Index, a key metric for assessing trend strength, has risen to 54 — well above the threshold of 25, which signals a strong trend. Additionally, the Moving Average Convergence Divergence indicator shows bullish momentum, with the two lines trending upwards.</p> 
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 <img decoding="async" width="928" height="544" src="https://crypto.news/app/uploads/2024/10/SUIUSDT_2024-10-04_16-39-18.png" alt="SUI price tanks after hitting a six-month high amid market volatility - 3" class="wp-image-14301620">
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  SUI ADX and MACD chart – Oct. 4 | Source: <a href="https://crypto.news/price/sui/" target="_blank">crypto.news</a>
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<p>These indicators suggest that SUI may continue its recovery, with the $2 mark acting as the next key resistance level. If the bullish momentum holds, the token could target its all-time high of $2.17, representing a 19% gain from current levels.</p> 
<p> Read more: <a rel="" href="https://crypto.news/sui-price-prediction/"> SUI price prediction: is this the next big L1 in crypto? </a> </p>

SUI price tanks after hitting a six-month high amid market volatility

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