Popular market analyst Ted Pillows has tipped Sui (SUI) for an impending price breakout. Notably, the prominent altcoin has recorded a steady price decline in the past month with an estimated loss of 17.18% within this period. However, Pillows notes the formation of a bullish pattern which indicates substantial market relief ahead.
In an X post on June 7, Pillows shares a positive insight into the SUI market despite a sustained downtrend throughout May and early June. The analyst notes that SUI appears to hit local bottom within the $2.8-$3.0 range following a slight rebound in the past 48 hours.
Interestingly, this recent price action could signal market reversal especially considering the formation of a bullish descending wedge pattern on the SUI daily chart. For context, the descending wedge is a classic bullish reversal pattern marked by two converging trend lines sloping downward. The price action within the wedge typically consists of lower highs and lower lows, but the decreasing slope of the lows signals a weakening bearish pressure.
Considering the rebound from the $2.8 which represents the lower boundary of the descending wedge and the narrowing of both trend lines, Pillows postulates SUI is preparing for a major upside price breakout. However, the altcoin must overcome a crucial resistance at the $3.5 price level which represents the upper boundary of the descending wedge pattern.
Pillows explains that a successful daily price close above $3.5 is likely to trigger robust buying pressure that could force a SUI market rally for the next 2-3 weeks, potentially leading to a new all-time high. Based on the analysis presented, initial price targets are set at $4.00 indicating an instant return to the peak price region in May.
However, with Pillows’ analysis hinting at a new all-time high, investors should expect any potential price breakout to hit a minimum price target of $5.21, representing a 60.8% gain on present market prices.
At the time of writing, SUI trades at $3.23 representing a 2.33% gain in the past day. However, weekly and monthly losses of 1.01% and 17.10%, respectively, suggest the altcoin still has ground to make up.
Nevertheless, SUI remains one of the best performing tokens of the present market cycle with potential to be a star of the altseason, considering its 211.11% increase in the last year.
