The convergence of AI and blockchain (0G), stablecoin proliferation (Ethena), and expectations of increased macro liquidity are driving capital inflows and technical interest towards SUI. Additionally, the acceleration of the Web3 shift spurred by EU regulations serves as a tailwind, indicating a neutral-to-positive market bias.

・Nasdaq-listed Flora Growth Raises $401 Million to Support Zero Gravity (0G), Rebrands to ZeroStack Flora Growth's substantial funding for Zero Gravity (0G) suggests the potential application of blockchain technology in decentralized AI infrastructure, potentially increasing interest in SUI as a related Layer 1 solution. 0G, operating under ZeroStack (formerly Flora Growth), aims to integrate AI and blockchain, drawing market attention for how SUI's ecosystem integration and features like scalability and low latency can be utilized in building AI infrastructure. Advances in blockchain for AI could drive demand for high-performance blockchains like SUI. ・Changpeng Zhao's YZi Labs Increases Investment in Stablecoin Issuer Ethena The expanded investment in Ethena by Changpeng Zhao's YZi Labs indicates the potential for widespread adoption of its stablecoin, USDe, and the subsequent growth of the overall DeFi ecosystem. Within the SUI ecosystem, the introduction of reliable stablecoins like USDe could boost liquidity and contribute to the diversification of DeFi products. Ethena's accelerated deployment on BNB Chain suggests a potential focus on interoperability with other chains and expansion onto emerging platforms like SUI, thereby broadening the opportunities for stablecoin utilization within the SUI ecosystem. ・BNB Surges 10% Despite Weekend Downturn, Targeting $1,250-$1,565 by Year-End BNB's price surge reflects the momentum of the broader Binance ecosystem and serves as a crucial indicator of market sentiment for competing Layer 1 blockchains like SUI. BNB's sustained upward trend suggests high investor interest in Layer 1 blockchains generally, potentially driving capital inflows into SUI. The year-end price targets indicate a bullish market outlook, positioning projects like SUI as potentially harboring similar growth potential. ・Bitcoin Mining Difficulty Hits Record High Amid Centralization Concerns The record increase in Bitcoin mining difficulty signals enhanced network security and hash rate growth, while also raising concerns about the centralization of mining pools. While this does not directly impact Proof of Stake (PoS) blockchains like SUI, heightened market attention to overall energy consumption and environmental issues could potentially elevate the valuation of PoS chains in the future. Furthermore, the difficulty increase validates Bitcoin's effectiveness as an inflation hedge, potentially reaffirming its appeal as a store of value and indirectly encouraging capital inflows into SUI. ・Vitalik Buterin: "Low-Risk DeFi" Could Become the Google Search of Ethereum Ethereum co-founder Vitalik Buterin's insights on "low-risk DeFi" offer significant implications for the sustainability and broader adoption of the DeFi ecosystem. Within the SUI ecosystem, developing low-risk, high-yield DeFi products is crucial for gaining user trust and fostering long-term growth. SUI's design principles of scalability and security are well-suited for realizing low-risk DeFi, and this trend could potentially accelerate DeFi development within the SUI ecosystem. ・Arthur Hayes: "Up Only" Mode Triggered Upon US Treasury General Account (TGA) Reaching $850 Billion Target Arthur Hayes' analysis suggesting that the achievement of the US Treasury General Account's (TGA) target level could trigger an "Up Only" mode reaffirms the significant impact of macroeconomic liquidity on the overall cryptocurrency market. An increase in the TGA balance signifies liquidity absorption from the market; subsequent liquidity injection upon completion could positively affect not only Bitcoin but the entire altcoin market, including SUI. A recovery in overall market liquidity is expected to boost investor appetite for risk assets, potentially driving capital inflows into SUI. ・"Chat Control" Bill Could Drive EU Users to "Web3 Alternatives," Experts Say The proposed "Chat Control" bill in the EU could heighten privacy concerns, potentially driving users towards more private and decentralized platforms, serving as "Web3 alternatives." This presents an opportunity for privacy-centric Web3 technologies, particularly decentralized platforms like SUI, to attract new user segments. Increased regulation within the EU might motivate users to seek freer, censorship-resistant communication methods, thereby enhancing the appeal of SUI as a decentralized infrastructure. Overall Summary This week's crypto market has been characterized by the convergence of AI and blockchain, stablecoin adoption, and macroeconomic liquidity trends. These factors hold the potential to increase capital inflows and technological interest in the SUI ecosystem, fostering future growth. Notably, regulatory developments in the EU signaling an acceleration towards Web3 represent a tailwind for decentralized platforms like SUI.

Downside risks include tightening macroeconomic liquidity, unexpected regulatory tightening, and lagging differentiation from competing Layer 1 (L1) blockchains. Support is at $3.00. Key factors to monitor are trends in the TGA balance and sudden shifts in market sentiment.

For the short term (24-48h), we anticipate consolidation within the current trading range. Over the mid-term (1 week), fundamentals may support an upside breakout, with advancements in 0G and wider USDe adoption potentially serving as catalysts.

SUI exhibits strong fundamentals driven by AI, stablecoins, and macroeconomic/regulatory factors, indicating significant long-term growth potential. Technically, the market is currently range-bound, suggesting a neutral to slightly bullish approach is appropriate. A buy-the-dip strategy around the current price of $4 is advisable. Accumulating positions between $3.50 and $3.00 is recommended, prioritizing confirmation upon a breakout. Entry points could be within the $3.50-$3.00 range, or through follow-on buying after a confirmed breakout above $4.00. The short-term target is $4.50, with a mid-term target set above $5.00. Implement stop-losses below $3.00 or utilize a trailing stop, and manage position size prudently. Keep a close watch on the $4.00 level, as a breakout could potentially accelerate upward momentum; dips towards $3.50 present attractive buying opportunities. It is crucial to monitor TGA developments and EU regulatory trends, adapting flexibly to changes in market sentiment. Patience and strategic execution will be key to capitalizing on emerging opportunities.