SUI Spikes Close To $1, Will The Bullish Breakout Continue?

The price of SUI increased by more than 5% to $0.935 on Sunday. In addition to the overall market surge, the recent introduction of stablecoin AUSD and TVL growth are responsible for the bullish momentum in SUI price. Will buyers' bullish breakout from $1 negate the market correction of September?

Source: CoinMarketCap 

SUI price rises in conjunction with AUSD stablecoin release

The blockchain's first layer AUSD, Sui's native stablecoin, has officially launched. Its goal is to improve DeFi operations on the platform. The AUSD stablecoin provides users with a more dependable and decentralized asset for DeFi transactions, borrowing, and lending thanks to the cooperation of Nonstop Finance.

„This launch marks a significant milestone for Sui’s expanding ecosystem as it strengthens its position in the decentralized finance space. Introducing AUSD is expected to bring greater liquidity and financial stability to projects built on the Sui network.“ the company added.

Amidst the developments, there was a noticeable increase in Total value locked and the SUI price recovered its $0.8 support. The SUI TVL increased to $641 million, according to DefiLlama, indicating a rise in capital inflow and investors' confidence in this project.

Meanwhile, the SUI price action on the daily chart indicates a trend-reversal pattern and an underlying shift in bullish momentum. The SUI price action displays an inverted head-and-shoulder pattern with an overhead-resistance trend line, despite persistent rejections from the 200-day EMA.

The SUI token, trading at $0.5728, has a strong bullish foundation despite the market's uncertainty. Bullish momentum spiked abruptly, resulting in a V-shaped reversal and bullish continuation above $0.80.

As of right now, the SUI price action shows three bullish candles that have caused a 20% increase in price, with the SUI trading at $0.9161. As altcoin breaks above the 50-day EMA and gains 5% intraday, it is posing a threat to the descending 200-day EMA.

The bullish momentum will pick up speed in the event of a possible breakout with daily candle closing, pushing the rally past $1 and toward targets of $1.43 and $1.72.

As it gets closer to the 60% mark, the daily RSI line shows a positive trend that is maintained above the halfway line.

Price action levels indicate that the critical resistance levels are at $0.9656 and $0.8728. The psychological mark of $1.001, which is located near the overhead-resistant trend line, and $1.43 are the next important resistance levels. The critical support levels at $0.80 and $0.5728 are on the lower end.