SUI’s Potential Overlooked Amidst Price Decline, Analyst Argues
According to analyst Michaël van de Poppe, SUI may be one of the more overlooked large-cap crypto setups in the current market. He contends that the network’s institutional, stablecoin, and technical advancements have been overshadowed by a significant drop in the token’s price.
In a post on X, van de Poppe noted that market attention has been heavily focused on SUI’s decline from $5.35 to approximately $0.90. However, he argued that a broader infrastructure buildout has continued in the background. His analysis suggests that the market may be underpricing the extent to which institutional infrastructure, liquidity channels, and protocol-level upgrades have developed during the downturn. “SUI is one of the most under-discussed setups in crypto right now,” van de Poppe wrote. “While everyone was watching the price drop from $5.35 to ~$0.90, this is what was actually being built.”
He pointed to several key developments, including the listing of a fifth spot crypto ETP in February 2026, the launch of CME futures, and the introduction of three US staking ETFs from Grayscale, Canary Capital, and 21Shares. Van de Poppe also highlighted Nasdaq-listed SUIG staking its full 108.7 million SUI treasury, the launch of USDsui through Stripe’s Bridge subsidiary, cumulative stablecoin transfers crossing $1 trillion in March, Hashi going live with native BTC collateral with over 20 institutions committing on day one, and the Mysticeti consensus upgrade, which increased checkpoints per second from one to four.
Infrastructure Development Challenges Negative Sentiment
Van de Poppe believes these developments challenge the view that Sui risks fading into irrelevance after a major price correction. “This is not a narrative chain. This is rails being laid. That’s why arguing that the chain becomes a ghost chain doesn’t make sense at all,” he wrote. “Every chain has had the same impact since October 10th, which destroyed all the markets.”
Beyond the headline institutional developments, van de Poppe emphasized the importance of the three US staking ETFs. He cited 232 million total users, 1.5 billion cumulative transactions, a roughly $500 million stablecoin baseline that held through the drawdown in total value locked, and consistent network revenue since launch.
The decline in Total Value Locked (TVL) was a central point in his argument. According to van de Poppe, Sui’s TVL fell from $2 billion to $500 million. However, the underlying asset also dropped by about 70% during the same period. He framed this as a crucial distinction for investors assessing whether the ecosystem experienced significant capital flight or if the drawdown was primarily tied to the token’s lower market price. “The overall TVL has dropped substantially, with a slight caveat,” he wrote. “The TVL dropped from $2 billion to $500M. In the same period, the underlying asset dropped by 70%.”
His conclusion was that the decline should not be interpreted as a simple exodus from the ecosystem. “That means there wasn’t any money flowing out of the ecosystem; in fact, the underlying value just dropped,” van de Poppe said. “Additionally, the ecosystem’s reduced activity is simply due to the markets being destroyed as a whole, as confidence needs to be rebuilt.”
Bullish Divergence Signals Accumulation
Van de Poppe also included a SUI/BTC daily chart, suggesting that the pair is showing signs of accumulation after a prolonged decline. The chart indicates a bullish divergence into the recent lows, followed by a sharp upward movement and a subsequent pullback into what he described as a mean-reversion area. The SUI/BTC pair is currently trading near 0.000136 BTC, with an accumulation zone highlighted below the current level and a potential resistance zone much higher, around the 0.000207 BTC region.
The annotated setup suggests that van de Poppe is monitoring whether the recent pullback will hold as a base after the breakout attempt. “The chart looks great for accumulation purposes. They announced many updates to the protocol last week as they keep shipping,” he wrote. “Technically, the bullish divergence on the Bitcoin pairs looks strong and valid, suggesting more upside for SUI.” He added that the move has already seen an initial breakout, followed by a pullback that he characterized as part of the setup rather than a negation of it. “Yes, they have already had a breakout, and this has come back down because it’s a mean-reversion play,” van de Poppe said. “However, this is the area where you’d want to look for accumulations on those protocols, and I personally think it is an attractive one to look at.”
At the time of this report, SUI was trading at $1.0896.
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