This morning, the Layer-1 blockchain Sui experienced a 2-hour blackout, resulting in the suspension of block generation and transaction processing. This network outage caused the price of SUI to drop slightly from $3.73 to $3.64.
Despite concerns about a larger decline, the price stabilized after the project announced that the network had been fully restored and was operational.
Sui Back Online... Altcoins Still Healthy
Around 10:52 UTC, the web3 security company ExVull revealed that a DOS bug had caused the Sui network outage. Known as a Denial of Service (DoS) attack, this bug overwhelms the system with excessive traffic or requests, causing it to crash or severely slow down, rendering it unusable for legitimate users.
"Analysis has revealed that the DOS was caused by an integer overflow in the Sui network nodes." – ExVul announcement.
Following this incident, several exchanges suspended trading of SUI, and the price also declined slightly. However, about 2 hours later, the project updated the community that the validators had helped resolve the issue.
"The Sui network is back up and processing transactions. This is thanks to the amazing work of the Sui validators in the community. The 2-hour downtime was due to a bug in the transaction scheduling logic that caused the validators to collide, and this has now been resolved." – explanation.
Meanwhile, according to data from Messari, the Sharpe ratio remained positive during the outage. The Sharpe ratio is a key measure of risk-adjusted returns, indicating how much excess return an investment has generated relative to the risk taken.
This helps investors evaluate whether the returns of a riskier asset justify the risk taken. A higher ratio indicates better risk-adjusted performance. Generally, a negative ratio means the risk is not worth the reward.
In the case of SUI, the positive ratio suggests that accumulating the altcoin around its current value can still generate positive returns.
SUI Price Forecast: Likely to Surge Above $4
On the daily chart, SUI continues to trade within an ascending channel. An ascending channel is a chart pattern defined by two parallel upward-sloping lines.
This forms when the price shows higher swing highs and higher swing lows, indicating a sustained uptrend. Additionally, the Chaikin Money Flow (CMF) is increasing, suggesting that buying pressure has exceeded distribution.
If this trend continues, the price of SUI could surpass $4. However, if the Sui network experiences another outage, this may not occur. In that case, the value could drop below $3.
