The native token of the Sui blockchain experienced a significant surge ahead of Christmas Eve despite the overall weakness that the crypto market has displayed as investors believe that this network could easily compete and beat Solana at its own game.
On December 23, the $SUI token experienced a 9% increase that pushed to $4.71 per coin after posting fresh all-time highs just a few days before at $4.9577 per token.
Just 5 days before the month ends, $SUI has produced monthly gains of 29.9% even though the entire value of the crypto market has advanced by a mere 2% during this same period.
The launch of Sui Bridge, a cross-chain crypto transfer protocol, on December 23 may have influenced the token’s latest performance. The developing team announced that users could now send $ETH and $USDT easily and rapidly via the Sui blockchain to their favorite decentralized apps (dApps) built on its ecosystem.
According to CoinMarketCap, the combined market value of all tokens that currently live on the Sui blockchain currently stands at $16.65 billion with the First Digital USD stablecoin and the DeepBook Protocol leading the scoreboard with market capitalizations exceeding the $1 billion mark already.
Although Solana is a well-established layer-one blockchain with dozens of successful and widely adopted dApps in its portfolio and thousands of meme coins minted via protocols like pump.fun, Sui could rapidly catch up if network congestion affects Solana’s long-standing reputation for being the fastest smart contracts blockchain in town.
Theoretically, the Sui blockchain is faster as it can process and execute around 300,000 transactions per second compared to 65,000 for Solana. However, its ecosystem remains small – although growing.
Moving forward, as scalability may become an issue for Solana, Sui could emerge to progressively replace the latter as the preferred infrastructure for developers to create dApps and mint new digital assets.
$SUI is on a Clear Upward Trend but Needs to Overcome this Resistance
The $SUI chart shows that the price of the asset is on a clear uptrend that could soon propel it above the $5 mark.
The most relevant support areas to watch moving forward would be the trend line support and the $4 psychological threshold that investors seem to have defended fiercely in the past few days.
Meanwhile, a break above $5 could result in significant short-term gains of approximately 24% if the upper bound of the price channel shown in the chart is next in line.
That said, there’s one major red flag that traders should consider. The Relative Strength Index (RSI) shows a divergence that appeared between December 5 and 13. This is a bearish signal that is typically interpreted as a sign of weakness during a bullish move.
A divergence implies that, even though the price of the asset went higher, positive momentum could be fading. Considering the overall bearish tone that the market has embraced following the Federal Reserve’s hawkish comments, traders should approach $SUI with caution, especially if it breaks below the $4 mark.
In the long term, reaching $100 per token would mean that the market cap of this project would jump to around $260 billion. The highest the value of Solana ($SOL) has gone since the network was launched in 2020 is $97 billion. Hence, a $100 $SUI sounds a bit far-fetched.
However, nothing prevents the token from becoming a valuable asset that could easily double its price if its ecosystem continues to grow rapidly as it has in the past year.
Solaxy Comes to Solana’s Rescue as Investors Pour $5.3M During its Presale
A layer-two protocol for the Solana blockchain called Solaxy is attracting significant interest from the crypto community amid its ambitious plan to ramp up the efficiency of the main net by bundling transactions offline.
After just a few days, its native token $SOLX has been sold to thousands of early buyers and has resulted in the project raising over $5.3 million to finance the developing team’s efforts.
Solaxy’s innovative architecture is appealing as it increases the speed at which transactions are executed within the Solana network and alleviates it from the latest congestion it has experienced amid the meme coin hype.
$SOLX is currently offered at a discounted price of $0.001578 but this offer expires in the next 18 hours.
After that, the price of the token will increase while the presale event could end soon as the project is getting close to achieving their funding target.
Crypto influencers believe that Solaxy could become Solana’s Optimism and Arbitrum while its $SOLX token can deliver 10X gains or higher to early buyers once the protocol is widely adopted.
To buy $SOL, visit the official Solaxy website and connect your wallet or download the Best Wallet app if you don’t have one. Meanwhile, if you don’t own any crypto at the moment, you can also use your bank card to complete the purchase.
The most successful crypto investors are those that get in early on promising projects.
This is an incredible chance to make history by helping a novel protocol help the Solana network scale up efficiently.
The post Sui Explodes 13% as Traders Say It’s the ‘Next Solana’ – $100 $SUI Possible? appeared first on Cryptonews.
