Sui (SUI) Shows Signs of Rejection at $1.95 After Network Outage

Sui (SUI) experienced the first network outage in its history yesterday, for reasons that the team has not yet disclosed.

The blockchain sat at a standstill from 06:52 PST to 13:22 PST, when Sui’s status webpage informed that systems were fully functional once again.

Sui’s Outage Report – Source: Sui Status Website

A “consensus issue” reportedly caused the outage and interrupted normal activities within the Sui ecosystem. Users were unable to make transactions with decentralized apps like Suilend and Slush during the 6-hour outage.

Sui’s developing team promised to release a full report of the incident over the coming days.

The blockchain’s native asset, SUI, retreated and evaporated nearly all of yesterday’s gains following the news. However, the token is still the top-performing asset in the top 20 in 2026 with a 30% gain.

Trading volumes for Sui have been progressively increasing in the past few days, currently accounting for 6% of the token’s circulating market cap at $600 million.

Volumes have been increasing for three weeks in a row, according to data from Artemis, reflecting growing interest in the token. The weekly figure reached $7.6 billion last week – the highest level since early November.

Sui’s On-Chain Metrics – Source: Artemis

Paired with a rising price, this could be an early indication that the market has entered an accumulation phase as SUI bounced off a key support.

In addition, transaction volumes on Sui have picked up as well, reaching 35 million last week. These activity levels have been reached during the early stages of both bearish and bullish cycles.

Hence, as traders’ interest and network usage are spiking, if technical indicators are bullish, the stage could be set for an explosive move over the next few weeks for SUI.

SUI Needs to Break Above $1.95 to Keep Rallying

SUI has encountered a sell wall at $1.95 an this latest outage may have contributed to increasing the pressure at that point.

SUI/USD Daily Chart (Coinbase) – Source: TradingView

The market will likely wait for a full report to assess what happened and determine if there are some unaddressed vulnerabilities that could be exploited in the future as well, which could result in reduced network efficiency.

In the meantime, the Relative Strength Index (RSI) has crossed below the 14-day moving average, which is also a bearish signal pointing to a trend reversal. A confirmed rejection of $1.95 could lead to a range-bound consolidation between $1.35 and this level in the near term.

However, a break above this resistance would likely push SUI to its 200-day exponential moving average (EMA), which currently sits at $2.37. This would mean an upside potential of around 19%.

SUI’s Hourly Chart Shows an Attractive Trading Opportunity

Now, heading to the hourly chart, we can see that a consolidation pattern has also been forming in this lower time frame.

SUI/USD Hourly Chart (Coinbase) – Source: TradingView

The key resistance to watch in this one is the $1.93 level. A break above would confirm a bullish outlook and would provide the best entry for a long position.

In contrast, a move below $1.76 would confirm a bearish price prediction that would provide the best entry for a short position. The most likely scenario at this point is bullish as the price is above the 200-period EMA in this time frame.

Whatever the outcome is, a confirmed breakout from this consolidation rectangle could give us high-probability setups in both directions.