XRP News Today: SUI Surges 82% as Institutions Favor Web3 Focus Over XRP

SUI has recently seen a significant increase in price, surpassing XRP in terms of growth and demand. This shift is particularly notable as institutional investors have begun to favor SUI over XRP. In May, SUI attracted $21 million in inflows, making it one of the top-performing altcoins, second only to Ethereum. In contrast, XRP, which has historically been a favorite among institutions, saw inflows of just $8.6 million during the same period. This shift in institutional preference is driven by SUI's scalability and focus on the Web3 space, which aligns well with current trends in decentralized finance (DeFi) and blockchain-based applications.

One key factor driving institutions to SUI is its lack of listing on major platforms like CME, unlike XRP Futures. This further solidifies SUI's untapped potential. XRP Futures recently launched on CME, making the token more accessible to a wider range of investors. However, this development also diminishes XRP’s image as an overlooked asset, giving SUI a unique advantage by remaining relatively underexposed. As more investors seek high-growth opportunities, SUI offers them the chance to get in early before the token is fully accessible on major platforms.

SUI’s decentralized, Web3-focused design also plays a large role in its growing appeal. Unlike XRP, which is predominantly centered around payment and remittance solutions, SUI focuses on scaling dApp ecosystems, a feature highly sought after by institutions entering the Web3 space. This increased focus on scalability and decentralized applications positions SUI as an ideal choice for institutions looking to diversify their blockchain investments.

XRP has its own advantages, especially regarding the potential for exchange-traded funds (ETFs). XRP’s status as an established digital asset gives it an edge when it comes to ETF approvals. The ongoing Ripple lawsuit also seems close to a resolution, pending court proceedings, likely boosting XRP’s clean image. The SEC’s settlement with Ripple would increase investor confidence in XRP, giving it a stable footing in the long term. However, for the time being, SUI’s scalability and Web3 ambitions have won the attention of institutional investors, pushing it ahead of XRP in terms of demand. Nevertheless, XRP ETF will likely see the light of day first.

Juan Pellicer, Head of Research at Sentora, discussed with BeInCrypto the major factors that could push XRP for an early ETF. “XRP’s decade-long trading record and early ETF filings put it first in the regulatory queue, while SUI still needs deeper liquidity and a longer track-record before the SEC is likely comfortable green-lighting a SUI ETF.”

SUI has shown an impressive 82% rise over the past month, trading at $3.85 at the time of writing. Despite encountering resistance at $4.05, SUI has yet to see a significant correction, suggesting continued bullish momentum. Given the ongoing demand for SUI, its price is expected to stay above $3.59, allowing it to break through the $4.05 resistance. A breach of this level could propel SUI towards $4.35 or higher. On the other hand, a drop below the support level of $3.59 would suggest that investors are beginning to book profits. In that case, the price could fall to $3.18, invalidating the current bullish outlook for SUI. However, based on institutional demand and SUI’s infrastructure, it appears likely that its price will continue to rise in the short to medium term.