Analysis of Multiple Factors Behind the Surge in Sui Ecosystem Token Prices

Recently, the Sui ecosystem has experienced a significant upward trend, with its governance Token SUI increasing by more than 75% within a week, far exceeding the market performance during the same period. This phenomenon is intertwined with multiple factors, including speculative enthusiasm triggered by market rumors, changes in capital flow, and continuous improvements in the ecosystem's fundamentals. This article will delve into the funding trends, key catalysts, on-chain data performance, and potential risks of this upward movement, providing a comprehensive interpretation of the logic behind this ecological frenzy.

Capital Flow Analysis: Surge of Hot Money into Exchanges, Soaring Contract Positions

From the perspective of on-chain capital flow, Sui has shown no significant changes recently. There has been a net outflow of 32 million dollars over the past three months, and the changes over the past month and week are even negligible, failing to rank in the top twenty among public chains.

However, the capital flow of the exchange shows a clear inflow trend. Data shows that the spot capital inflow of SUI reached 62.86 million USD in the past seven days, ranking fourth. At the same time, several Sui network ecological tokens such as WAL, MEMEFI, and CETUS have entered the top ten in the contract capital inflow ranking, reflecting the capital activity of the Sui ecosystem.

The contract holding amount of SUI Token began to surge on April 21, increasing from 700 million USD to 1.419 billion USD within a week, approaching historical highs. Most tokens in the Sui ecosystem also saw significant increases within a week, with 20% of the tokens rising more than 100% and 37.5% of the tokens rising more than 50%.

This rise shows a comprehensive boost to the Sui ecosystem. Although most projects have no actual positive developments, the price performance is quite remarkable.

Multiple positive factors boost market sentiment

On April 21, mainstream tokens began to rebound, and Sui's rise was also initiated. Subsequently, several positive news items were successively released, but it is difficult to determine whether these news items are the true driving force behind the rise or a strategically timed release to coordinate with the price increase.

Main benefits include:

1. Pokémon Cooperation Rumor: Originated from the update of the privacy policy of the Pokémon HOME application, listing Sui-related company Parasol Technologies as an authorized developer.

2. xMoney/xPortal Collaboration: Sui announces a partnership with these platforms to launch the Sui-branded virtual Mastercard in Europe.

3. ETF-related news: The earlier news about 21Shares establishing a legal trust entity for the "SUI ETF" has been brought back into focus.

4. Other developments: including cooperation with the Athens Stock Exchange Group, Nautilus launching privacy solutions, and Canary Capital submitting SUI ETF applications.

These developments cover multiple areas such as Web3 gaming, privacy, and development environments, forming an overall favorable situation.

Surge in DEX Trading Volume and Ecological Development

Since April, the DEX trading volume on the Sui network has remained high, reaching a historical peak of $998 million on March 29. The leading DEX project in the ecosystem, Cetus Protocol, has driven overall growth, with a trading volume increase of 84.5% in the past week.

Another important contributor is Kriya, which contributed $780 million in trading volume on March 29. The surge in these figures may be related to the airdrop of Walrus, which had a trading volume of $380 million on the day of the airdrop.

Developer activity is also an important factor in the growth of the Sui network. Starting from December 2024, the frequency of code submissions for Sui has significantly increased, maintaining over 500 submissions per week, far surpassing Solana and Aptos.

Potential Risks and Future Challenges

Despite the bullish market sentiment, there are still several risk points worth noting:

1. The selling pressure from the continuous unlocking of tokens, releasing tens of millions of tokens each week.

2. The ecological rise structure is mainly led by DEX or infrastructure projects, while application and gaming projects have not performed prominently.

3. The lack of "killer" applications that can attract a large user base.

In summary, the recent surge of Sui and its ecosystem is the result of market speculation enthusiasm, capital inflow, contract market expectations, and fundamental progress working together. However, whether this current hype can be transformed into long-term value depends on addressing the Token unlocking pressure and cultivating high-quality applications that attract users.