Sui (SUI) is moving steadily on Tuesday, with analysts noting that the token is set to be guided in its next price action by a major technical formation. The major focus of the market is on the $1.40 level, which is being seen as a crucial support point.

At the time of writing, SUI is trading at $1.52, according to data from CoinMarketCap. The token’s trading volume is $1.45 billion, and its market capitalization is $5.77 billion. The token’s price has increased by 0.60% over the last 24 hours, indicating sustained market participation as the token consolidates above support rather than extending recent pullbacks.

SUI Triangle Pattern Signals Breakout

Noting this in a post on X, technical analyst CryptoPulse pointed out that SUI is still respecting the $1.40 level of support, thus maintaining a symmetrical triangle on a daily chart. This type of formation usually precedes a strong directional move once a breakout occurs.

If the token continues above this level, according to the analysis, there is technically a possibility for the price to move towards the upper boundary of this pattern, which is around $1.80.

Also Read | SUI Could Rally Toward $10 as Market Enters Expansion Phase: Analyst

SUI Flashes New Buy Signal

Analyst Ali Martinez has also pointed out the development of a new buy signal on SUI’s chart. Martinez emphasized that in previous instances when a new buy signal developed, there was a significant price movement upward.

Although past performance is not an indication of future results, the development of the same signal again is why there is a renewed sense of optimism about the coin’s price structure.

But it’s not only from a technical perspective that Sui continues to be a player in the Layer-1 blockchain space, with a stable price and trading activity keeping it in the limelight among investors who are still looking for a sense of direction in a crypto market that continues to experience both bearish and bullish momentum.

Investors are cautious nonetheless, as the current structure is highly reliant on the defense of the $1.40 area. Trading below this area could weaken the current structure and postpone any potential break higher. Trading above support levels continues to draw attention to higher levels of resistance.

Overall, whether the consolidation process will result in a breakout or a deeper pullback is very likely dependent on whether the key levels of support are held, and as such, the $1.40 level is critical for the short-term forecast of the coin.

Also Read | SUI Dips 12% After Failing to Reclaim Critical $1.7–$1.9 Zone