The Sui ecosystem is experiencing a comprehensive pump, driven by multiple factors that are boosting market sentiment.

Recently, the Sui ecosystem has experienced a remarkable rise, with the SUI token increasing by more than 75% within a week, far exceeding the market performance during the same period. Behind this phenomenon are complex driving factors intertwined, including speculative enthusiasm triggered by market rumors, significant changes in capital flows, and continuous improvements in the ecosystem's fundamentals. Let us delve into the funding trends of this round of SUI pump, key news catalysts, on-chain data performance, and potential risks.

Influx of funds into the exchange, surge in contract positions

From the on-chain capital flow in recent months, the capital change of Sui has not been significant, showing a net outflow of 32 million USD over a three-month period. However, in terms of capital flow on exchanges, the inflow of funds into the Sui ecosystem is quite noticeable. In the past seven days, the spot capital inflow of SUI reached 62.86 million USD, ranking fourth among all cryptocurrencies. In the contract capital inflow leaderboard, several ecological tokens of the Sui network, such as WAL, MEMEFI, and CETUS, have also entered the top ten, reflecting the capital activity of the Sui ecosystem.

The contract holding volume of the SUI token has experienced a surge since April 21, increasing from $700 million to $1.419 billion in just one week, approaching the previous high of $1.5 billion. In addition to SUI, most tokens in its ecosystem have also seen significant rises over the week. In the past week, 35 tokens have risen more than 100%, accounting for 20% of the Sui ecosystem projects, and 37.5% of tokens have risen more than 50%, which can be described as a comprehensive bloom.

Multiple positive factors boost market sentiment

On April 21, almost all mainstream tokens began to rebound simultaneously, and Sui's initial rebound started to rise along with the market's rhythm, followed by a number of positive news releases.

A captivating rumor is about a potential collaboration with Pokémon. This stems from the Pokémon HOME app updating its privacy policy to include "Parasol Technologies" as one of the authorized developers allowed to receive user data. Parasol Technologies is a blockchain gaming studio that has been acquired by the core development team of Sui. This connection quickly ignited the market's imagination, sparking speculation about Pokémon potentially integrating its IP onto the Sui blockchain.

Another important collaboration is the partnership with the financial platform xMoney and the crypto super app xPortal. The core of this collaboration is to launch a Sui-branded virtual Mastercard in Europe, integrated within the xPortal app, which has 2.5 million users. Users can add this virtual card to mobile payment systems and use SUI and other cryptocurrencies for payments at tens of thousands of merchants.

ETF-related news is also considered one of the important factors driving the rise of Sui. There are reports that a certain company has established a "SUI ETF" statutory trust entity. Although this news is not actually new, it still provides some support for the rise of SUI.

In addition, the Sui network has recently made several advancements, including collaboration with the Athens Stock Exchange Group to build an on-chain fundraising platform and the launch of verifiable off-chain privacy solutions. These advancements cover multiple areas such as Web3 gaming, privacy, and development environments, forming an overall positive outlook.

DEX trading volume surges, but faces dual pressure

Since April, the DEX trading volume on the Sui network has remained at a high level, especially reaching a historical peak of $998 million on March 29. The trading volume of the leading DEX project within the ecosystem has increased by 84.5% in the past week, and the token has nearly doubled in a week. Another important contributor contributed $780 million on March 29, growing more than 100 times compared to the previous day.

The surge in trading volume on these DEXs is likely mainly due to the airdrop of a certain project. On March 27, a decentralized storage project announced an airdrop, and on that day, the trading volume of that token reached $380 million, which could be the main reason for the recent rise in trading volume on the Sui network.

The activity of developers is also one of the underlying reasons for the growth of the Sui network. Recently, the code submissions for the Sui network on Github have been quite frequent, maintaining over 500 submissions per week since December 2024, which is significantly higher than other public chain projects.

Potential Risks and Future Challenges

Despite the high market sentiment, there are still some risk points worth noting. First of all, the token unlock of SUI is a continuous selling pressure, with tens of millions of tokens released almost every week, which may become an unpredictable bomb in the rise cycle.

Secondly, the rise structure of the Sui ecosystem is currently mainly led by Dex or infrastructure projects, but the performance of MEME tokens or application/game projects has not yet been outstanding. Currently, tokens with a market value of over 10 million are basically still early projects, and the ecosystem is still lacking "hit" applications that can attract a large number of users.

Overall, the recent surge of the SUI token and its ecosystem is a result of the market's speculative enthusiasm, influx of funds, expectations from the contract market, and the joint effects of fundamental progress. However, while paying attention to the impressive performance of the Sui price, one must also be cautious of the selling pressure brought about by the continuous unlocking of tokens, and observe whether its application ecosystem can further thrive. The ability to create truly attractive blockbuster applications will be key in determining whether Sui can convert its current popularity into long-term value.