The recent downturn in Bitcoin and Ethereum has once again triggered a broad wave of bearish pressure across the cryptocurrency market. One of the assets most affected has been SUI, which fell by more than 40% during the sharp sell-off on October 10. This decline even pushed the token below its yearly low, previously recorded in April.

SUI technical analysis

SUIUSD - 1 Day Time Frame

The central question now is whether this downward move marks the beginning of a prolonged bearish phase, or if it represents only a short-term liquidity sweep that could set the stage for a potential recovery later in the year. The next few trading sessions could provide important insights into this dynamic.

When the price breaks below a previous low, it typically triggers Sell Stop orders positioned under that level, which the market often absorbs and matches with Buy orders. The reverse process occurs in upward movements, where Buy Stop orders are filled by Sell orders. This interaction between liquidity and order flow forms one of the key principles behind market behavior.

However, for this mechanism to hold technical significance, it must be evaluated alongside the key support and resistance zones, which are established by the highs and lows of specific candlestick formations.

SUI price target

On the accompanying chart, two major zones have been highlighted in orange. These serve as the primary areas of interest for assessing SUI’s next potential direction. As long as the price continues to respect these levels on the daily timeframe, the bearish scenario could remain valid.

Conversely, if the price manages to close above the first and later the second resistance zone, it could signal a potential shift in market structure, suggesting that a broader rebound might be underway. In such a scenario, sentiment could gradually turn more positive, indicating that momentum may be aligning toward recovery.

While a reversal is not guaranteed, monitoring price behavior around these resistance zones could provide valuable confirmation signals for SUI’s next move.