SUI, a cryptocurrency, has seen a decline of 23.71% over the past 30 days, with the price dropping from a local high of $4.3 to $3.35 as of the latest data. Despite this downward trend, the altcoin’s fundamentals have been showing signs of growth. One key indicator of this is the surge in daily active addresses, which hit a three-month high of 1.4 million, reflecting increasing adoption and demand for SUI.
In addition to the rise in active addresses, SUI has also seen an increase in the number of new and returning users. Daily new wallets surged to 1.1 million for the first time in October 2024, while returning wallets reached 346.6k. This organic demand indicates a growing interest in SUI among users, which could potentially lead to price appreciation in the future.
The surge in active addresses and user engagement is typically seen as a bullish signal for a cryptocurrency, as it suggests higher network activity and demand. In the case of SUI, buyers have started to reenter the market after a period of dormancy, with buy volume outpacing sell volume by 2.2 million. This indicates strong bullish sentiment and a potential reversal in price trajectory for SUI.
Furthermore, the rising exchange outflow and positive funding rate for SUI suggest that investors are becoming more bullish on the altcoin. With spot netflow declining and long positions remaining in high demand, there is a possibility for prices to recover and possibly break out of the descending trendline to reclaim higher resistance levels.
Overall, the growing adoption and demand for SUI are positive signs for the altcoin’s potential recovery and price appreciation. If the current trend of rising active addresses and user engagement continues, we could see SUI reclaim higher price levels and potentially break out of the downward trend. However, it is important to note that sellers are still present in the market, so buyers need to maintain their momentum for a sustained price recovery.
