The Sui ecosystem is experiencing significant rise, driven by multiple factors pushing the Token price skyrocketing.

Recently, the Sui ecosystem has experienced a remarkable rise, with its governance Token SUI increasing by over 75% in just one week, far exceeding the market performance during the same period. Behind this phenomenon are complex interwoven driving factors, including speculative enthusiasm triggered by market rumors, significant changes in capital flows, and continuous improvements in the ecosystem's fundamentals. Let's delve into the capital trends behind SUI's recent surge, key catalysts, on-chain data performance, and potential risks, providing a comprehensive interpretation of the logic behind this ecological frenzy.

Capital Flow and Contract Positions

From the on-chain fund flows in the past few months, the fund changes of Sui are not obvious, showing a net outflow of 32 million USD within three months. However, at the exchange level, the influx of funds into the Sui ecosystem is quite significant. Data shows that in the past seven days, the spot fund inflow of SUI reached 62.86 million USD, ranking fourth among all coins. At the same time, tokens in the Sui network ecosystem such as WAL, MEMEFI, and CETUS have entered the top ten in the contract fund inflow ranking, reflecting the activity level of the ecosystem.

The contract position of SUI Token has experienced a surge since April 21, rising from 700 million to 1.419 billion within a week, approaching its historical peak. Most tokens in the Sui ecosystem also saw significant increases within the week, with 20% of tokens rising over 100% and 37.5% of tokens rising over 50%, showing a comprehensive blooming trend.

Multiple positive factors drive market sentiment

Starting from April 21, mainstream Tokens began to rebound synchronously, and Sui started with the market and welcomed multiple positive news. It is worth noting that:

1. Pokémon Collaboration Rumors: The Pokémon HOME app has updated its privacy policy and listed Parasol Technologies, which will be acquired by Mysten Labs, as an authorized developer, leading to market speculation that Pokémon may collaborate with the Sui blockchain.

2. Payment Cooperation: Sui announced a partnership with a financial platform to launch the Sui branded virtual Mastercard in Europe, integrated within an application with 2.5 million users, supporting payments with SUI and other cryptocurrencies.

3. ETF Related: The news that 21Shares established the "SUI ETF" statutory trust entity as early as January 2025 has been revisited, providing support for the rise of SUI.

4. Other developments: The Athens Stock Exchange Group has completed the technical design of the fundraising platform on the Sui chain; Nautilus brings verifiable off-chain privacy solutions to Sui; Canary Capital has submitted an SUI ETF application, etc.

These advancements across multiple domains come together to form a comprehensive positive outlook, which is different from the previous explosive response triggered by a singular message from Sui.

The Surge in DEX Trading Volume and Developer Activity

Since April, the DEX trading volume of the Sui network has remained high, reaching a historical peak of $998 million on March 29. The leading DEX in the ecosystem, Cetus Protocol, has driven the overall rise, with a trading volume increase of 84.5% in the past week. Another important contributor, Kriya, contributed $780 million in trading volume on March 29.

This phenomenon may be related to the airdrop of Walrus. On March 27, the decentralized storage project Walrus launched an airdrop, and the trading volume that day reached $380 million, making it one of the main reasons for the recent rise in trading volume on the Sui network.

The activity level of developers is also the underlying reason for the rise of the Sui network. Starting from December 2024, the Github code submission frequency of the Sui network peaked, maintaining over 500 submissions per week, far exceeding that of Solana and Aptos.

Potential Risks and Future Development

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

1. Token unlocking pressure: SUI releases tens of millions of tokens weekly, becoming the largest supplier in the market. These unlocked tokens may become a ticking time bomb during the rise cycle.

2. Unbalanced ecological structure: Currently, the rise is mainly led by DEX or infrastructure projects, while MEME tokens or application/game projects have not yet stood out. Tokens with a high market capitalization are still primarily early projects.

3. Lack of blockbuster applications: Although there have been developments in decentralized storage, DeFi, gaming, and other areas, there is still a lack of "internet celebrity" applications that can attract a large number of users.

Overall, the recent surge of SUI Token and its ecosystem is the result of the market's speculative enthusiasm, influx of funds, and expectations in the contract market, along with progress in the fundamentals. However, while paying attention to Sui's price performance, it is also necessary to remain vigilant about the selling pressure brought by the continuous unlocking of tokens and to focus on whether its application ecosystem can further thrive and give birth to truly attractive blockbuster applications for users. This will be key in determining whether Sui can convert its current popularity into long-term value.