SUI, the native token of the Sui blockchain, fell Tuesday after breaching critical support levels and triggering a wave of technical selling. The token dropped 9.2% to as low as $2.02 as trading volume spiked and recovery attempts repeatedly failed.
The sell-off followed Monday’s news of a $116 million exploit involving decentralized finance (DeFi) protocol Balancer, which has rattled sentiment across the industry.
As security concerns mounted, investors appeared to unwind exposure to riskier layer-1 tokens, with SUI showing signs of institutional liquidation, according to CoinDesk Research’s technical analysis model. Nearly 42.6 million tokens changed hands during the breakdown, 68% more than the daily average, according to on-chain data.
The $2.08 level — once a support zone — flipped into resistance during the rout, with multiple failed bounces reinforcing the bearish trend. During U.S. morning hours, SUI hovered around $2.02 in low-volume trading, suggesting traders were positioning ahead of the next major move.
Chart watchers noted classic capitulation behavior: a single-hour collapse, followed by lower highs and tight consolidation. If the token breaks below $2.014, technical targets point toward $1.98 or even $1.95. To regain momentum, bulls would need to reclaim $2.07 with conviction.
The CoinDesk 5 Index of the biggest cryptocurrencies dropped 1.15% on the day with all constituents lower.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI Policy.
