The Rise of the Sui Ecosystem: Multiple Factors Driving the Significant Pump of Tokens and Projects

Recently, the Sui ecosystem has experienced a remarkable rise, with its governance Token SUI increasing by over 75% within a week, far exceeding the market performance during the same period. This phenomenon is driven by complex factors, including speculative enthusiasm fueled by market rumors, significant changes in capital flows, and continuous improvements in the ecosystem's fundamentals. This article will delve into the funding trends behind this round of SUI's rise, key news catalysts, on-chain data performance, and potential risks, providing a comprehensive interpretation of the logic behind this ecological frenzy.

Capital Flow Analysis: Hot Money Inflows into Exchanges, Surge in Contract Positions

From the on-chain capital flow in recent months, the capital changes of Sui are not significant. Over a three-month period, Sui has shown a net outflow of 32 million dollars, which is relatively small. The on-chain capital flow changes in the past month and the past week are even more negligible, and it has not even entered the top twenty among public chains.

However, in terms of the capital flow on the exchange, the inflow of funds into the Sui ecosystem is quite significant. Data shows that in the past seven days, the spot capital inflow of SUI reached 62.86 million USD, ranking fourth among all coins, only behind USDT, ETH, and FUSD. Moreover, ecological tokens of the Sui network such as WAL, MEMEFI, and CETUS have also made it into the top ten in the contract capital inflow rankings over the past seven days, reflecting the active capital dynamics of the Sui ecosystem.

The contract holding of SUI Token has significantly increased since April 21, rising from 700 million to 1.419 billion dollars within a week, approaching the previous high of 1.5 billion dollars. Most Tokens in the Sui ecosystem also experienced a significant pump within a week, with 35 Tokens rising over 100%, accounting for 20% of Sui ecosystem projects, and 37.5% of Tokens rising over 50%, demonstrating a flourishing trend.

From a financial perspective, this pump is a comprehensive collective rise of the Sui ecosystem. Although most projects have not made any actual positive progress, the price fluctuations are quite evident.

Multiple positive factors boost market sentiment

On April 21, mainstream Tokens began to rebound in sync, and Sui's rise was also initiated. Subsequently, multiple positive news items were reported, but it is difficult to determine whether these news items are the true driving force behind the pump or just smoke screens released to accompany the price increase.

The main positive news includes:

1. Pokémon Collaboration Rumor: Originating from the update of the privacy policy of the Pokémon HOME app, which lists Sui-related Parasol Technologies as an authorized developer. This has sparked speculation in the market about Pokémon possibly integrating its IP on the Sui blockchain.

2. xMoney/xPortal Collaboration: Sui announces a partnership with these two platforms to launch the Sui-branded virtual Mastercard in Europe, integrated within the xPortal app which has 2.5 million users.

3. ETF-related news: 21Shares established the "SUI ETF" statutory trust entity as early as January 2025, and this news has recently been re-exposed.

4. Other developments: including the Athens Stock Exchange Group building an on-chain fundraising platform on Sui, Nautilus bringing verifiable off-chain privacy solutions to Sui, and Canary Capital submitting a SUI ETF application.

These positive news cover multiple areas such as Web3 gaming, privacy, and development environments, forming an overall positive outlook, which is different from the previous single news that triggered the explosion with Sui.

DEX trading volume surges and network activity

Since April, the DEX trading volume on the Sui network has remained high, especially reaching a historical peak of $998 million on March 29. The leading DEX project in the ecosystem, Cetus Protocol, has driven the growth of the entire ecosystem, with its trading volume increasing by 84.5% in the past week, and the price of the Token CETUS approaching a doubling.

Another important contributor is Kriya, which contributed $780 million in trading volume on March 29, increasing more than 100 times compared to the previous day. This phenomenon may be related to the airdrop of Walrus, which reached a trading volume of $380 million on the day of the airdrop release on March 27.

In terms of developer activity, the Github code submission frequency of the Sui network has significantly increased since December 2024, maintaining over 500 submissions per week, far exceeding the levels of Solana and Aptos.

Potential Risks and Future Development

Despite the rising market sentiment, there are still several notable risk points to be aware of:

1. Token unlocking pressure: SUI releases tens of millions of tokens every week, which may become the largest supplier in the market, creating continuous selling pressure on the price.

2. Unbalanced ecological structure: The rise of the Sui ecology is mainly led by DEX or infrastructure projects, while MEME tokens or application/game projects have not yet stood out. Currently, tokens with a market value of over 10 million are basically still early projects.

3. Lack of "hit" applications: Although Sui has laid out in decentralized storage, DeFi, gaming, and other fields, it still lacks "internet celebrity" applications that can attract a large number of users.

Overall, the surge of the SUI Token and its ecosystem is the result of the market's speculative enthusiasm, influx of capital, expectations in the contract market, and fundamental progress. However, while paying attention to the price performance of Sui, one must also be cautious of the selling pressure brought on by the continuous unlocking of tokens and monitor 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 hype into long-term value.