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SushiSwap (SUSHI) Faces Bearish Trends Amid Technical and Fundamental Weakness

2 mins
Updated by Ryan Boltman
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In Brief

  • SUSHI shows bearish signs, breaking the Ichimoku Cloud and testing the daily EMAs repeatedly.
  • On Ethereum, 88.13% of SUSHI holders are at a loss, with over 100,000 addresses affected.
  • The Arbitrum network sees a 47.78% rise in addresses at a loss, amounting to 27,000 addresses.
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SushiSwap (SUSHI) shows clear bearish trends on the daily chart, but it is struggling to break key resistance levels.

Recent on-chain analysis highlights SUSHI’s downward trajectory, particularly after breaking below significant support levels.

SushiSwap Shows Strong Bearish Trend in Price Action

The price of SUSHI is showing clear bearish signs on the daily chart. It has repeatedly tested both the 200 EMA (green) and the 100 EMA (blue) while moving within the Ichimoku Cloud.

On June 7, during Bitcoin’s correction to $66,800, SUSHI broke below the Ichimoku Cloud’s baseline, a crucial support and resistance level marked in red.

Read More: How To Use SushiSwap: A Step-by-Step Guide

SUSHI Daily Price Analysis. Source: TradingView
SUSHI Daily Price Analysis. Source: TradingView

After breaking the lower boundary of the Ichimoku Cloud, SUSHI found this level to act as strong resistance on subsequent attempts to break back above it. This is evident from the chart.

With Bitcoin’s recent drop from $70,000, SUSHI followed suit, declining 12% to a week low of $0.935. This trend is decidedly bearish, and for SUSHI to turn bullish again, it would need to climb back into the Ichimoku Cloud and break above the baseline in red.

The following chart displays the historical In/Out of the Money addresses for SUSHI holders on the Ethereum blockchain. This indicator provides insights into the profitability of addresses holding SUSHI based on the token’s current price.

Addresses in Profit/Loss on Ethereum. Source: IntoTheBlock
Addresses in Profit/Loss on Ethereum. Source: IntoTheBlock

On the Ethereum blockchain, 100,670 addresses, or 88.13%, hold SUSHI at a loss. Meanwhile, 8,750 addresses, representing 7.66%, are profitable, and 4,800 addresses, or 4.2%, are breaking even.

From June 1 to June 12, there have been notable changes in the profitability of addresses holding SUSHI on Ethereum.

Holders on Arbitrum Confront Losses Amidst Declining Market Conditions

Since the start of the month on the Arbitrum network, the number of addresses holding SUSHI and being Out of the Money increased by 10.35k, a rise of 13.30%. Conversely, the number of addresses At the Money decreased by 2.39k, a drop of 36.30%. Additionally, addresses In the Money fell by 7.95k, representing a decline of 50.92%.

These shifts indicate a bearish trend, with a higher percentage of SUSHI holders now experiencing losses compared to the start of the month.

Read More: SushiSwap (SUSHI) Price Prediction 2024/2025/2030

Addresses in Profit/Loss on Arbitrum. Source: IntoTheBlock
Addresses in Profit/Loss on Arbitrum. Source: IntoTheBlock

Between June 1 and June 12, there were notable shifts in the addresses holding SUSHI on the Arbitrum network. The number of addresses at a loss, or Out of the Money, surged by 23,804, marking an increase of 47.78%. On the flip side, the At the Money addresses, those in breaking even positions, dropped by 7,081, a decrease of 48.34%. In the Money addresses, or those in profit, fell by 16,724, a decline of 47.06%.

This trend highlights a growing bearish sentiment. On the Arbitrum Network, more SUSHI holders are now facing losses than at the beginning of the month.

Technical indicators point to continued downward pressure to $0.768 (the local price low). A significant number of holders are experiencing losses across both the Ethereum and Arbitrum networks.

For SUSHI to turn bullish again, it would need to climb back above the baseline in red.

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In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Adam Mourad
Adam, 23, is a full-time on-chain analyst and part-time trader in the Web3 space. He is the founder and CEO of 0nchained, an on-chain data reporting service. Adam started his journey with CryptoQuant, where he still works as an analyst. Over the past year, he has developed over 30 indicators and written more than 120 analyses. His passions include data and analytics, cryptocurrency, and supercars, particularly red Ferraris and yellow Porsche GT3s. His professional achievements are...
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