The prices of Sui (SUI) and Ondo (ONDO) are under pressure as both altcoins hover around $3.90 and $1.33, respectively, following recent declines. With bearish technical indicators and negative sentiment, these altcoins could face significant drops in the coming days.
Sui’s Bearish Momentum: Aiming for a 25% Decline
Sui’s price action has been struggling since January 19, when it broke below a critical ascending trendline, which had been in play since late November. Although it briefly attempted a recovery, it was rejected at the trendline, leading to a 17% crash over the weekend. As of Tuesday, SUI is finding support around its 200-day Exponential Moving Average (EMA) at $3.78.
A daily close below this support level could open the door for a further 25% decline, bringing SUI to the next support zone at $2.96. The Relative Strength Index (RSI) is currently at 38, signaling continued bearish momentum with room for more downside. Additionally, the Moving Average Convergence Divergence (MACD) indicator shows a bearish crossover, reinforcing the potential for continued selling pressure.
Ondo’s Struggle: A 20% Correction Imminent?
Ondo’s price faced resistance at the 61.8% Fibonacci retracement level of $1.54, based on its price movements from November 3 to December 16. After rejecting this level, ONDO dropped almost 7%, stabilizing around $1.33 on Tuesday. If $1.54 continues to act as resistance, ONDO could experience a 20% decline to retest its January 13 low of $1.09.
Further bearish sentiment is reflected in the RSI reading of 48, indicating a weakening bullish trend. The MACD is also showing signs of convergence, and a bearish crossover could signal further downside. Compounding this, Coinglass’s OI-Weighted Funding Rate reveals that more traders are betting on a price drop, as evidenced by a negative rate of -0.0014%, suggesting further downward pressure on ONDO’s price.
Both Sui and Ondo are facing bearish technicals and negative market sentiment, signaling that double-digit declines could be on the horizon. Investors should stay cautious and monitor key support levels for potential breakdowns.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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