Can This Altcoin Rally Continue?
The Sui (SUI) entered the new year with renewed momentum, climbing more than 38% since early January. The rally lifted the altcoin to its highest level in nearly two months.
The information on the chain points to the sustainable activity of the network and the overall recovery of the ecosystem, which reinforces the positive outlook. Meanwhile, several analysts expect SUI to extend its gains.
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SUI has become the top earner of the Crypto market today.
The SUI continued to close in the green for five consecutive days, marking its longest streak since April, according to BeCrypto Markets data. Today, during the first Asian trading hours, the altcoin rose to $1.99. This rating was last seen in mid-November.
In the last 24 hours alone, the SUI price has risen by 14.2%. At the time of writing, it was trading at $1.94.
This double-digit increase has earned SUI the first position among the top 100 daily earners on CoinGecko. Additionally, trading activity continued to be strong, with daily volume growing over 91% to $1.7 billion.
The strength is not limited to SUI. Along with the rally seen in the broader market, tokens in the Sui ecosystem have also seen significant gains.
According to crypto analyst Kyle Chase, this rally is particularly interesting considering the timing of significant token releases. As of January 1st, 43.69 million SUI tokens have gone into circulation through the project's monthly wear schedule, with an estimated value of $65.10 million.
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Token unlocks increase circulation and can put downward pressure on prices. However, SUI has continued to trade high during this period, indicating that the market has absorbed more supply.
Chase also noted that network activity remained strong after the Mysticeti v2 update, maintaining 866 transactions per second. The analyst cited the spot SUI ETF filings as signs of growing institutional interest in the asset.
“The ‘institutional mainstream' flip is happening in real time with Bitwise and Canary Capital offering spot SUI ETFs. Closer: Sui isn't just a Solana killer; it's a full-stack execution engine with protocol-level privacy in Q1. The tsunami is now a tidal wave,” the analyst wrote.
Analysts look further up for SUI
Meanwhile, many market observers predict that the SUI will rise. One analyst noted that SUI has bounced back from a triple-bottom formation, a technical setup that normally indicates strong support.
The token regained the $1.75 level, reinforcing bullish sentiment. Another trader, CryptoBullet, predicted that SUI could continue its upward movement, citing price targets between $2.8 and $3.5.
Analyst Moon Jeff has suggested that if the market is favorable for altcoins, the Sui market could be close to $30 billion, representing an increase of more than 300% from its current value of $7.3 billion.
“SUI is an underrated L1. I wouldn't be surprised if it probably ran into a 30 billion market place in a good Alsace,” he wrote.
However, such forecasts are highly dependent on broader market conditions, continued network growth and investor appetite. As with all rapid price increases, volatility remains a key factor to watch.
