SUI News Today: SUI's 87% Plunge: Insider Selloff or Compliant Partner?

Sui (SUI) experienced one of the most dramatic price collapses in cryptocurrency history on October 10, 2025, plummeting nearly 87% from $3.80 to $0.50 within minutes. The crash was triggered by a massive token unlock of 44 million SUI tokens-valued at $144 million-flooding exchanges like Binance and Coinbase, which overwhelmed thin order books and initiated a cascade of panic selling . The timing was exacerbated by President Trump's surprise announcement of a 100% additional tariff on China, effective November 1, which sent shockwaves through global markets .

The SUI crash triggered over $500 million in liquidations, with $100 million directly tied to SUI positions. Trading volumes surged 294% as traders scrambled to exit positions, while Bitcoin fell below $110,000 and the broader crypto market saw total liquidations exceeding $7 billion . Solana, XRP, and Dogecoin each lost 20–30%, and tokens like Cardano and Chainlink dropped as much as 40%. The event has been compared to the March 2020 crypto market meltdown, with trader Bob Loukas calling it a "mother of all shakeouts" .

Technically, SUI's price sliced through key support levels, including its 7-day moving average at $3.40 and the Fibonacci level at $3.26, pushing it toward $2.82 before a partial recovery to $2.40 . The Relative Strength Index (RSI-14) now sits at 28, indicating oversold conditions, though analysts caution that a sustained rebound above $3.26 is needed to signal short-term relief . Open interest in SUI derivatives has dropped 15%, suggesting traders are avoiding leveraged bets until volatility subsides .

Amid the chaos, the Sui Foundation denied allegations of insider selling following an on-chain investigation by analyst Light, which linked large SUI transfers to exchanges like Binance and OKX. The Foundation stated that no employees or partners violated lockup agreements and attributed the activity to an infrastructure partner operating under a compliant lockup schedule . However, critics remain skeptical, questioning how a non-insider entity could hold $400 million in tokens under lockup .

SUI's market cap has shrunk to $10.01 billion from a peak of $12.5 billion, with its price trading at $2.76 as of October 12 . While the token has stabilized slightly, the path forward remains uncertain. Traders are closely watching whether buyers can defend support at $2.82 or if further declines toward $2.11 will materialize. Meanwhile, broader macroeconomic risks, including U.S.-China trade tensions, continue to weigh on market sentiment .

Source: [1] Sui Price: Token Unlock & China Tarrif Threats Triggers ... (https://coincentral.com/sui-price-token-unlock-china-tarrif-threats-triggers-87-flash-crash/)

[2] Sui Price Collapses 87% After Token Unlock & China Tariff Shock (https://blocknews.com/sui-price-collapses-87-after-token-unlock-china-tariff-shock/)

[3] Sui Price Crash: Will it Bounce Back or Break Lower? - Coinpedia (https://coinpedia.org/price-analysis/sui-price-crash-will-it-bounce-back-or-break-lower/)

[5] $400 Million SUI Selloff Allegations: What the Sui ... (https://beincrypto.com/sui-foundation-denies-insider-selloff/)

[7] Sui Foundation Denies $400 Million Insider Selloff Amidst ... (https://cryptounfolded.com/news/sui-foundation-denies-400-million-insider-selloff-amidst-community-backlash/)