SUI gains 115% in September supported by ecosystem growth

SUI surged 115% in September, becoming the top-performing altcoin and hitting a five-month high.

At press time, Sui (SUI) was trading at $1.77, recording a 7% price increase over the day, while its market capitalization surpassed $4.925 billion, setting a new all-time high. Furthermore, the daily trading volume of the Layer-1 blockchain also increased by 164% to around $1.06 billion in the last 24 hours.

Sui, often considered a competitor to Solana, has seen impressive growth driven by increasing interest from users and developers. Data of DeFI Llama shows that the total value locked in its ecosystem has risen to an all-time high of $1 billion, up from just $383 million recorded in August.

Some of the most notable Sui dApps that have seen significant growth in TVL are the NAVI protocol, Cetus, Suilend, and Scallop Lend, each of which has accumulated over $165 million in assets.

Sui's push into the blockchain gaming sector, a key area for blockchain adoption, has been a major driver of its recent rise.

In early September, Mysten Labs, the developer of the Sui blockchain, opened pre-orders for the SuiPlay0X1 gaming handheld, which integrates Sui's blockchain technology with a Linux-based operating system, compatible with both traditional PCs and with blockchain-based games.

To generate excitement, users who pre-ordered were given the opportunity to create a wallet, which will receive a unique nft upon delivery of the device.

Another key driver of SUI's September run is Grayscale's decision to open its Sui Trust to accredited investors, adding credibility and attracting institutional interest in Sui.

Additionally, Sui's recent integration of USDC into its ecosystem and its partnership with US movie subscription service MoviePass also contributed to the bullish momentum.

Technicians point to bullish momentum

Sui has seen a notable increase in futures open interest, reaching an all-time high of $485 million on September 30.

Currently, the altcoin is trading above its 50-day and 200-day moving averages, which formed a golden cross on September 22, a key bullish signal in technical analysis.

As of writing this article, SUI price had approached the upper Bollinger Band at $1.9754, while the Relative Strength Index had risen to 77.

These indicators suggest strong bullish momentum for Sui, with potential for further gains in the near term. If this trend continues, the next key resistance level is $2.1839, which marks its March high and sits 24% above the current price.

However, SUI price could be at risk of a correction as approximately 64.2 million SUI, valued at $108.5 million and representing 2.4% of the circulating supply, will be unlocked on 1 of October. according to unlock tokens.

A significant portion (61%) of these tokens will be allocated to early investors in the project's Series A and B funding rounds. If these investors choose to liquidate their holdings, it could introduce considerable selling pressure, which could offset the recent bullish momentum.