Sui (SUI) Set to Unlock 64 Million Tokens on October 1, Sparking Investor Excitement and Potential Price Surge

The Layer-1 blockchain Sui (SUI) is about to unlock 64 million tokens on October 1. That’s 2.40% of its total circulating supply. The crypto community is buzzing with excitement over this release, and investor interest in SUI is on the rise.

Token unlocks often bring volatility and can sometimes cause price drops. However, this analysis suggests that SUI’s price might not take a big hit. In fact, there’s a good chance it could increase after the event.

Over the past 30 days, SUI’s price has shot up by 115%. Much of this surge is thanks to Grayscale launching the SUI Trust. Plus, the project’s Total Value Locked (TVL) has hit an all-time high, showing growing confidence in this altcoin.

On October 1, the project will release 64.19 million tokens, valued at over $100 million. This process means that previously restricted coins will now enter circulation.

While supply shocks can lead to volatility, the daily chart shows that the Bull Bear Power (BBP) indicates buyers are currently in control. This suggests strong buying pressure, which could push SUI’s price above $1.73.

SUI’s trading volume has also increased to $862.48 million. Generally, rising buying volume tends to lift a cryptocurrency’s price. For this trend to continue, though, the volume needs to keep climbing. If volume drops while the price rises, that could signal a potential reversal.

In SUI’s case, the price has risen by 5% in the last 24 hours, with volume jumping by 122% during the same period. This indicates that the token may be on track for a continued rally.

Looking at the daily SUI/USD chart, it’s clear that the altcoin shows strong momentum. Traders should keep an eye on the $1.90 level, which has been a crucial point for SUI’s price historically.

For instance, when SUI tried to reach $2 back in February, it faced resistance at $1.90. Now, as it approaches that level again, the existing buying pressure suggests it may break through.

Additionally, the 20-day Exponential Moving Average (EMA) is above the 50 EMA. This indicates that the bullish trend is still intact, allowing for further price appreciation.

If buying pressure helps SUI surpass the $1.90 resistance, the token could rise to $2.10. However, a wave of profit-taking might push its value down to $1.45, potentially invalidating the bullish outlook.