- Switzerland retreated nearly 10% after rising nearly 40% over the past week.
- Institutional investor positioning and the upcoming launch of CME futures have fueled bullish momentum.
- Despite the pullback, Sui’s total value locked and on-chain activity continue to show strong growth.
After experiencing one of the strongest rallies in this month’s altcoin market, SUI’s price has begun to pull back. Over the past week, SUI’s price surged nearly 40%, but it has since dropped nearly 10% from its Sunday high, raising questions about whether its upward momentum is starting to weaken.
The token recently surged to a high of nearly $1.42 during intraday trading, marking its highest level since late January, after which sellers began to enter the market. As of press time, SUI is trading at approximately $1.27, down about 4% over the past 24 hours and significantly below its weekend high. Nevertheless, its overall trend remains much stronger than it was just a few weeks ago.
Part of this rally is due to increasing institutional activity around the ecosystem. SUI Group Holdings announced that it has increased the number of SUI tokens held in its treasury to over 108 million and confirmed that the majority of these tokens have been staked to generate yield. The company stated that this single move reduced the circulating supply of SUI tokens by 2.7%, thereby tightening token supply.
New catalysts continue to drive interest in Sui.
In addition to staking activities, several other developments have bolstered bullish sentiment. Sentiment around Sui has recently been strong. Santiment highlighted CME Group’s upcoming SUI futures, set to launch on May 29, which will make SUI the fifth Layer-1 blockchain to enter the regulated derivatives market via CME products.
Meanwhile, the network’s partnership with Paga to expand cross-border payments in Africa has further strengthened bullish sentiment. For many traders, such partnerships are significant because they indicate that companies are seeking real-world utility beyond speculative trading activity.
Despite optimistic market sentiment, a cooldown is ultimately necessary. SUI’s Relative Strength Index (RSI) surged to 84.4 during the uptrend, pushing the token deep into overbought territory, before retreating to around 75.94. Typically, elevated RSI readings indicate excessive price movement over a short period, making a pullback almost inevitable.
Weakness in the overall market has intensified pressure.
This pullback did not occur in isolation. During the same period, the broader cryptocurrency market slightly weakened, with total market capitalization declining by approximately 0.33%, and multiple altcoins also declined alongside Bitcoin and Ethereum.
An analyst noted that, according to reports, nearly $680 million has rotated from Bitcoin and Ethereum into stablecoins recently, reflecting a temporary shift toward lower-risk investment strategies. Environment The decline in SUI appears to be part of a broader cooling-off rather than a collapse directly tied to the project itself.
Interestingly, the social sentiment around Switzerland remains relatively contained even during the rally. Santiment’s data shows the token’s social dominance has hovered between 0.13% and 0.15%, well below its peak of nearly 0.38% in early May. This may be more significant than many realize, as it suggests retail-driven hype has not yet fully dominated the market.
Despite the pullback, on-chain growth remains strong
Price momentum is cooling. On-chain activity within the Sui ecosystem continues to show signs of strength: according to DefiLlama, the total value locked across the entire network has risen to approximately $653 million, up significantly from around $541.9 million in early May.
Over the past week, the total supply of stablecoins across the network increased by approximately 4.5%, while trading volume on decentralized exchanges reportedly surged over 200%. These indicators suggest that users and liquidity continue to flow actively into the ecosystem, even amid heightened price volatility.
Nevertheless, SUI is still nearly 76% below its all-time high and remains below levels seen at the beginning of 2026, indicating significant room for recovery. The next move may depend on whether institutional capital inflows, network activity growth, and investor demand can continue to outpace token unlock rates in the coming months.