Sui Price Forecast: Sui extends losses, close to breaking $3.00 support, as bearish sentiment persists :

Sui extends losses, targeting areas below the $3.00 support after a 26% plunge from recent highs.
The steady DeFi TVL at $1.75 billion suggests that investor confidence in the ecosystem remains intact despite the recent price decline.
SUI’s position below the 50-day and 100-day EMAs, in addition to multiple technical sell signals, implies increasing bearish momentum.
Sui (SUI) struggles to contain losses after a 26% retracement from recent highs of $4.29, reached on May 12. The layer-1 token hovers at around $3.20 at the time of writing on Thursday, up slightly on the day. Support at $3.00 remains critical for the resumption of the uptrend; however, if broken, technical dynamics could change significantly, potentially accelerating losses.
Sui’s DeFi TVL recovers despite increasing sell-side pressure
Sui’s Decentralized Finance (DeFi) Total Value Locked (TVL) edged higher over the last 24 hours to $1.75 billion after dropping to $1.54 billion on May 23. The chart below shows that TVL is up 29% from the $1.24 billion recorded on April 1.

TVL refers to the total value of all coins held in smart contracts across all protocols on the network.
A persistent increase in TVL is a bullish signal as it suggests that investors are confident in the ecosystem. The subsequent decrease in the circulating supply reduces potential selling pressure, thus creating a suitable environment for a sustainable price increase.
Technical outlook: Can Sui defend $3.00 support to resume the uptrend?
Sui’s technical structure shows signs of potential recovery; however, the sell signal from the Moving Average Convergence Divergence (MACD) indicator could overshadow demand, resulting in extended declines below the immediate $3.00 support level.

Such a sell signal manifests when the blue MACD line crosses above the red signal line, making shorts attractive to traders. The red histogram bars, which expand below the mean line (0.00), reinforce the bearish grip.
The Relative Strength Index (RSI), although stabilizing at 40, has sustained a downtrend since the overbought conditions in early May. Should the RSI drop into the oversold territory below 30, the path of least resistance will stay downwards. However, traders could look out for a swing above the 50 midline to ascertain a trend reversal in Sui’s price.
The SuperTrend indicator issued a buy signal on April 23, triggered when Sui’s price crossed above the trend-following tool. By utilizing the Average True Range (ATR), the SuperTrend gauges market volatility, acting as a dynamic support and resistance.

As long as the buy signal holds, the probability of Sui resuming the uptrend, targeting recent highs above $4.00, will be higher. A break above the 50-day Exponential Moving Average (EMA) resistance at $3.36 would imply bullish momentum.
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