NOIDA (CoinChapter.com) — Alibaba might be preparing for a comeback in China after a regulatory crackdown and some controversies saw the firm fade from the spotlight in late 2020. However, the firm plans to return to being the top player in Chinese markets.
In a recent CNBC interview, Alibaba co-founder Joe Tsai was optimistic, asserting that the e-commerce giant was ready for a resurgence.
Moreover, the news is positive for Alibaba shareholders and could have intriguing implications for Sui, a blockchain project with deep ties to the company’s cloud division.
Tsai’s bullish outlook stems from a belief in Alibaba’s internal restructuring success and the immense growth potential within China’s expanding e-commerce market. The Alibaba executive acknowledged rival companies’ threats but claimed the firm would learn from their tactics.
This signals a renewed sense of innovation within the company that could extend to its blockchain endeavors.
Alibaba Cloud and Sui – A Strategic Partnership
Alibaba Cloud is a crucial pillar of the Sui blockchain’s infrastructure. It operates full and archival nodes, ensuring network stability and providing historical data access. Additionally, Alibaba Cloud sponsors the Shinami gas service, making it easier for users to start interacting with the Sui blockchain.
Further, Alibaba has committed to supporting Sui’s development community.
Interestingly, the collaboration is mutually beneficial. As Alibaba eyes expansion, it will require scalable and robust infrastructure for its operations. With its focus on high-throughput and streamlined smart contracts, Sui might be ideal to meet Alibaba’s growing demands.
In addition, Alibaba’s resurgence brings several promising avenues for Sui. The firm could leverage Sui’s blockchain capabilities to optimize supply chain management within Alibaba’s vast e-commerce operations, streamline cross-border payments, or even create blockchain-backed loyalty systems.
Moreover, Alibaba’s comeback and renewed strength signals confidence that could attract investors to the Sui blockchain project.
SUI Price Could See Gains Of Nearly 50%
SUI prices are moving inside an ascending price channel, currently trending near $1.6 after dropping nearly 3% intraday on Feb. 26. Interestingly, an association with Alibaba could help jump-start a rally, helping the SUI token price move above immediate resistance near $1.88 before targeting the resistance near $2.4.
Moreover, a move to the $2.6 resistance level would result in a spike of nearly 50% from current price levels for SUI, which could attract buyers to the market as the rally begins.
However, profit booking risks pulling the token’s price down to the 50-day EMA (purple wave) support near $1.45. Breaching the immediate support could force the SUI price rally to correct 30% from current levels and test the support near $1.13.
The RSI for SUI remained neutral, with a score of 49.52.
