SUI jumps 40% on breakout as staking squeeze and short liquidation hit $1.41
SUI price surged nearly 40% to a 4-month high of $1.41 after breaking out from a bullish symmetrical triangle on the daily chart. The token has stabilized around $1.27 and is still up roughly 35% versus three months ago. Traders are watching whether SUI can hold above the breakout zone, as squeezes can fade quickly without follow-through demand.
The move was boosted by an institutional supply squeeze. Nasdaq-listed SUI Group Holdings staked 108.7 million SUI tokens (about $143M), removing nearly 2.7% of circulating supply from open markets. Additional catalysts supported SUI network momentum: Mysten Labs co-founder Adeniyi Abiodun said confidential transactions for private payments and fee-free stablecoin transfers are planned for later this year, while African fintech Paga announced deep integration with Sui for cross-border stablecoin payments.
Liquidations amplified the breakout. Roughly $3.13M in exchange liquidations occurred, with nearly 90% coming from short positions, reinforcing short-squeeze dynamics. Veteran trader Peter Brandt flagged a potential weekly bottom around May 11 and suggested SUI could see upside continuation if the weekly structure improves.
Key level for traders: SUI needs to defend the post-breakout area (near $1.35, per prior technical focus) and sustain momentum beyond reclaiming the 10-day SMA.
Bullish
The breakout plus forced liquidations created a momentum tailwind for SUI, with an institutional staking move removing a meaningful share of supply from open markets. While this is supportive for short-term upside, the rally depends on whether spot buyers can hold the post-breakout level (near the earlier $1.35 focus). If demand fades, squeezes often unwind and prices can retrace quickly. Longer term, the potential weekly bottom signals room for continuation, especially if SUI sustains its weekly structure and keeps reclaiming key moving-average levels.