Sui has plummeted by 6% today, dropping to $2.25 as the cryptocurrency market suffers a 5% loss in the past 24 hours.
The whole market is reacting negatively today to the deepening tariff war between the US and the rest of the world, although Sui holds on to an 11% increase in the past week.
But with the coin down by 52% since touching a record high of $5.35 on January 4, it still has plenty of recovering left to do.
The impending launch of Walrus could help with such a recovery, with the new decentralized storage protocol adding to Sui’s already strong bull case.
Should You FOMO Into Sui? New Walrus Launch Sends Price Flying
Sui took to X yesterday to celebrate the launch of Walrus, which is a Sui-based platform that enables users to store their data and also make it programmable.
Given the growing centrality and importance of cloud-based computing, Walrus’ emergence is potentially very bullish for Sui, with the platform aiming to provide a Web3, decentralized alternative to such semi-monopolies as AWS and Google Cloud.
Certain analysts are bullish for the project, with Dutch investor and entrepreneur Michaël van de Poppe posting on X yesterday in support of the platform, suggesting “the entire SUI ecosystem will continue to grow quickly […] and this is one to keep an eye on.”
Sui is already the ninth-biggest layer-one network in the market in terms of TVL, which currently stands at $1.27 billion.
And the launch of a platform with so much potential utility could help Sui expand even further, although the market hasn’t responded to Walrus’ launch with much in the way of bullishness.
As its chart today shows, Sui is still in an oversold position, with its RSI (purple) having languished below 50 for all of February and most of this month.
Source: TradingView
At the same time, SUI’s 30-day average (orange) has seemingly bottomed out in relation to the 200-day average (blue), suggesting that the coin may be close to a recovery.
Based on its fundamentals alone, the token should recover soon, yet it finds itself in a bearish and uncertain market, one which ongoing tariff disputes is dragging down.
Because of this, SUI may fall as low as $2 before the wider macroeconomic situation stabilizes, whereas it could recover to $4 by the second half of the year.
New Altcoins Bring Market-Beating Potential
SUI continues to show lots of promise, but because the market will weigh it down in the near term, some traders may prefer to diversify into newer tokens at the moment.
Such a strategy can be risky, but new tokens often have the ability to outperform the market by wide margins, with presale coins being particularly volatile.
And while many presale tokens may be unpredictable, one example that is attracting lots of interest right now is Solaxy (SOLX), a layer-two network for Solana.
It has raised over $28 million in its presale, providing a very strong sign of how popular it could become once it launches.
Despite having been around for several years now, Solana is yet to benefit from a layer-two network of its own, with its blockchain still sometimes suffering from delays and failed transactions.
Yet Solaxy aims to change all this, with its L2 providing lower fees and faster transactions, helping Solana to become more efficient and consistent for users.
Solaxy will also provide instant bridging between itself and its parent chain, with the L2 adding compatibility with more chains at later dates.
As its native token, SOLX will pay transaction fees while also being open to staking, meaning that demand for the token could be high.
There isn’t long left until the SOLX presale ends, but latecomers can buy it at a discount by going to the Solaxy website.
It currently costs $0.00168, although this will continue to rise periodically until the sale ends, so investors should act sooner rather than later.
The post Should You FOMO Into Sui? New Walrus Launch Sends Price Flying appeared first on Cryptonews.
