SUI surpasses AVAX, NEAR, HYPE in trading volume, but traders are pulling back - Why?

At the time of writing, Sui (SUI) has increased by 1.4% in the past 24 hours and is trading at $3.86. SUI previously surged to a local peak of $4.4, and the on-chain volume remains high regardless of the adjustment moves. Data from CoinGecko shows that the trading volume of SUI continues to rise.

SUI dominates in the competition

According to the analysis, the trading volume of the SUI token is higher than the total volume of Avalanche (AVAX), Hyperliquid (HYPE), and Near Protocol (NEAR) combined.

The total trading volume of SUI in July reached $44.59 billion — $8 billion higher than its competitors. This figure includes all swap transactions on both the centralized (CEX) and decentralized (DEX) exchanges, indicating an increasing level of adoption.

Source: Torero RomeroTrading volume has increased thanks to the development of protocols like Cetus and BTCfi – a newly launched protocol that has opened new liquidity channels for the network.

What is driving the rally?

One of the key factors driving the trading volume of SUI is that the DeFi protocols of this network now support Bitcoin. This is an important milestone, as scaling with the BTC token has long faced many challenges.

BTCfi will allow the use of Bitcoin on SUI's DeepBook to provide liquidity for pools, trade derivatives and options, use leverage, lend and borrow.

This will bring a completely new source of liquidity to this layer 1 blockchain, according to a post on X (previously known as Twitter).

Source: DeFiLlamaThe total value locked (TVL) on SUI has increased by over 480% since January, reaching 2.29 billion dollars by the end of July.

When considering liquidity staking, lending, and double-counted amounts, the total TVL reaches $3.48 billion — the highest of all time.

The stablecoin activity also remains stable, with a market capitalization of 1.03 billion dollars and daily inflows reaching 2.36 million dollars, indicating that capital is still being deployed steadily across the protocols.

SUI breaks Ichimoku Cloud resistance

While this altcoin is gaining ground in terms of trading volume, the price is trying to hold above the Ichimoku Cloud. The price action has surpassed this resistance area, coinciding with the downward trend line.

SUI is currently trading at $3.86 and seems to have retested the $3.61 area.

The Awesome Oscillator indicator shows moderate bullish momentum, but the sellers dominate the volume.

The Money Flow Index (MFI) has decreased to 36.47, indicating that money is flowing out of this asset despite positive structural developments.

Source: TradingViewDespite the weak price, derivative data shows a cautious but optimistic outlook. The funding rate weighted by open contracts (OI) remains positive, meaning Long traders are still paying fees for Short positions.

Meanwhile, OI has decreased from 2.66 billion dollars to 2.41 billion dollars, but importantly, it remains above the 2 billion dollar threshold.

This stable trend indicates that the interest from institutions or whales has not completely vanished, even in the context of the overall market adjusting.

Minh Anh