The SUI price has experienced a notable decline today, driven by a combination of factors including increased token supply, technical weaknesses, and a broader market downturn. The recent token unlocks, which released over 68 million SUI tokens worth approximately $68 million into the market, triggered a significant selling pressure, as early investors and team wallets likely took the opportunity to sell their holdings. This coincided precisely with the timing of the price drop, making this a particularly noticeable occurrence. 10 December’s LINEA token unlock, although not directly related to SUI, is expected to increase overall market volatility, raising concerns among altcoin traders about dilution across the market. 7-day SMA at $1.53 and even dropped under the 200-day EMA at $2.88. This has led to a drop in the RSI to near 33, which indicates technical overselling. 3. However, buyers seem reluctant to step in and support prices. A key factor contributing to the decline is the SUI price’s fall below the crucial support level of $1.32. If this mark breaks, it could trigger more automated selling, pushing the price closer to the $1.00 zone, especially if Bitcoin continues to weaken. To regain momentum, SUI needs to reclaim the $1.53 mark. However, without such a rebound, momentum will likely continue to be subdued. The broader market’s downturn has also played a role. Bitcoin saw over $194 million in liquidations within 24 hours, impacting XRP and other high-beta altcoins. As such, SUI’s price has experienced a more significant drop of over 13% compared to Bitcoin’s decline of approximately 7%. This indicates the heightened sensitivity of SUI to risk-off market movements. Open interest in derivatives is also declining, suggesting traders are closing positions and avoiding leverage. When open interest falls sharply, altcoins typically struggle to find support. The recent drop in the SUI price is a result of a confluence of factors, including supply pressure, technical indicators, and a broader shift in market sentiment. Whether SUI can defend the crucial support level of $1.32 remains unclear. If it holds, the SUI price might stabilize. But if it breaks through, we could see a further decline to the $1.00 zone. The upcoming US CPI data release on December 5th may also influence market volatility and impact SUI prices. Subscribe for daily crypto updates on our YouTube channel.