SUI dropped 10% on Friday, extending its losing streak to five consecutive sessions as weak retail demand and deteriorating technical indicators pushed the token deeper into bearish territory. The sell-off accelerated after the price broke below several key moving averages, with futures data showing traders rushing to unwind long positions.
Why the sell-off is deepening
SUI is now trading below its 50-period exponential moving average of $1.1558 and the lower Bollinger Band at $1.1442. The relative strength index sits at 46, below the neutral 50 mark, while the moving average convergence divergence indicator remains negative. Technical analysis suggests that if support at the 200-period EMA of $1.0270 fails, the next stop could be $1.00 — a level not seen in recent weeks.
Futures market signals sell-side dominance
Open interest in SUI futures dropped 10.5% to $727.97 million over the same period, with $7.2 million in total liquidations. Long positions accounted for roughly 70% of those liquidations, a sign that leveraged bulls are being flushed out. The shrinking open interest combined with heavy long liquidation points to a market where sellers are firmly in control and new buyers are reluctant to step in.
Key levels to watch
On the downside, SUI must hold the $1.0270 support — the 200-period EMA — to avoid a slide toward $0.9972, the 78.6% Fibonacci retracement level. A break below that would open the door to the psychological $1.00 mark. On the upside, resistance sits at $1.2171 and then at $1.2900. A recovery above the 50-period EMA would be needed to shift the near-term outlook, but with retail demand fading and momentum indicators pointed lower, that scenario looks distant for now.
Traders are watching whether the $1.0270 support can hold through the weekend. If it doesn't, the next few trading sessions could see SUI testing levels it hasn't visited in a month.
