Excessive Supply Concerns Lead to a 70% Drop in SUI's Market Debut Top Price

Excessive Supply Concerns Lead to a 70% Drop in SUI's Market Debut Top Price

user avatar

by Max Nevskyi

3 years ago


Ожидается, что количество токенов SUI в обращении увеличится примерно на 15% к концу 2023 года. Однако с момента своего первоначального появления на верхних биржах криптовалюты стоимость SUI значительно упала.

По состоянию на 5 мая стоимость одного токена SUI упала до $ 1,26, что составляет снижение примерно на 70% по сравнению с его пиковым значением примерно $ 4, что было достигнуто только за два дня до Binance. С другой стороны, пик рынка токенов на других платформах, таких как Kraken, составлял $ 1,60 или менее, подразумевая, что он находился в процессе обнаружения своей реальной ценности после своего дебюта.

SUI / USD дневной график цен.

Несмотря на это, SUI продолжает удерживать свой общий рост рынка, увеличившись почти на 1200% с момента своего первичного публичного размещения.

  • Основы цены SUI на ранней стадии
  • Is There an Overload in SUI Supply?

Fundamentals of SUI Price in the Early Stage

SUI's initial upward trend was supported by traders who saw it as a potentially more scalable layer-1 blockchain project than its competitors. Mysten Labs, the original contributor to SUI, claims that it will be the first programmable blockchain platform at an internet scale, with the ability to process approximately 300,000 transactions per second, which is significantly higher than Solana's 10,000 transactions per second.

Venture capitalists, led by Andreessen Horowitz and FTX Ventures, have invested $336 million in the SUI project through two funding rounds in 2021 and 2022. According to Mysten Labs, these rounds provided investors with access to the company's equity, rather than SUI tokens.

However, the project's token economics reveal that 14% of its 10 billion SUI supply has been allocated to investors. Mysten Labs has yet to disclose when these tokens will be distributed or any associated vesting schedule.

In April 2023, Mysten Labs repurchased the stake that was previously held by FTX Ventures, a subsidiary of the now-defunct FTX cryptocurrency exchange. Additionally, Mysten Labs regained the rights to purchase SUI tokens that were previously owned by FTX, for a sum of approximately $96 million.

Is There an Overload in SUI Supply?

Traders and analysts have expressed confidence in the Sui project's objectives to become a compelling blockchain option, but there are also reservations regarding SUI's supply schedule.

Specifically, the Sui Foundation intends to boost the SUI supply by around 15% by the conclusion of 2023. This move, as per analyst Dmitriy Lavrov, may cause traders to hold off on entering the market until prices drop further.

In the near term, the SUI price may encounter selling pressure around the $1.31 level, which could lead to a potential pullback. If a pullback occurs, the token's short-term downside target could be around $1.26. Additionally, if the market experiences oversupply, the price may drop to $1.21 by May 5 or during the upcoming weekend, resulting in a 7% decrease from its current value.

SUI/USD 15-minute price chart.

С другой стороны, аналитик Ameba предсказал, что SUI будет испытывать увеличение своей стоимости и может достичь $ 1,50 в мае. Амеба основывала этот прогноз на недавнем закрытии нисходящего сопротивления линии тренда SUI, что было значительным фактором. Crypto Mikey, другой трейдер, также сделал аналогичный прогноз повышения цены SUI.

Tier I

Sector: #18291

Sealed Cache Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, caches will be stored in your inventory and can be opened with Keys.

Other news

Dormant Bitcoin Wallets Come to Life

chest

Six dormant Bitcoin wallets have moved a total of 55,359 BTC, worth approximately $40.15 million, between August 16 and August 26.

user avatarSatoshi Nakamura

SEC Proposes New Rules for Crypto Custody Regulations

chest

The SEC has proposed new rules to modernize crypto custody regulations for investment advisers and companies.

user avatarJesper Sørensen

US Law Blocks Federal Reserve from Issuing Digital Currency Until 2030

chest

US Congress passed a law blocking the Federal Reserve from issuing a digital currency until 2030.

user avatarRajesh Kumar

ECB Executive Addresses Privacy Concerns of Digital Euro

chest

Piero Cipollone from the European Central Bank addresses privacy concerns regarding the digital euro, emphasizing user privacy and transaction confidentiality.

user avatarLucas Weissmann

Bitcoin Futures Traders Abandon Crypto for Stablecoin Margin

chest

Bitcoin futures traders have largely abandoned using Bitcoin as collateral for their positions, opting for stablecoin-backed positions to avoid risks associated with price drops.

user avatarFilippo Romano

Gold Prices Surge to Three-Month High

chest

Gold prices surged to a three-month high, reaching $4,696.18 an ounce, driven by a weaker dollar and falling Treasury yields.

user avatarEmily Carter

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.