SEI, the native token of the Sei Network, is grabbing attention after showing strong bullish signs for the first time in nearly 70 days. A 15% price increase over the past week, most of it within the last 24 hours has pushed SEI back up to $0.20. This sudden move has not only reversed the recent downtrend but also sparked renewed optimism among traders.
SEI Breaks Free from Downtrend
For over two months, SEI had been stuck in a descending price channel that kept dragging its value down. But that changed recently. After weeks of sluggish movement, the cryptocurrency broke above this downward trendline, something technical traders call a “bullish breakout.”
This move is significant because it triggered a bullish crossover on SEI’s MACD (Moving Average Convergence Divergence) indicator. Specifically, the 12-day EMA (Exponential Moving Average) crossed above the 26-day EMA, something that hasn’t happened since April 11. Back then, SEI went on to surge nearly 80% in the following month. If history repeats, we could see SEI heading for another strong upward move.
Real-World Boost: SEI Selected for State-Backed Stablecoin
SEI’s price isn’t rising just because of technical patterns. A major fundamental reason is also driving the demand.
Recently, the Wyoming Stable Token Commission selected the Sei Network as one of the blockchains to potentially host its upcoming stablecoin, known as WYST. This stablecoin will be the first to be backed by U.S. state fiat currency. To make it even more powerful, WYST will use LayerZero’s interoperability protocol to connect with multiple blockchain networks.
This announcement created a wave of excitement in the crypto market. Not only did it boost SEI’s price, but it also sparked a rally in LayerZero’s native token, ZRO. The partnership signals growing trust in Sei Network’s technology, which could bring more developers and investors to the project.
Volume Confirms the Rally
When a coin breaks out of a downtrend, traders always look for one thing to confirm the move: trading volume.
In SEI’s case, trading volume has skyrocketed to $222.34 million, its highest level since February 25. This increase in volume confirms that there is real interest in SEI’s current rally. Higher volume alongside price increases often means strong buying pressure and genuine market confidence.
This makes the current price move more likely to sustain rather than being a short-lived pump.
Technical Indicators Signal More Upside
Looking at the 4-hour chart, SEI is showing several positive signs:
The price has broken out of a falling wedge, a bullish chart pattern, and formed six consecutive green candles—an encouraging sign of momentum.
The Awesome Oscillator (AO) has turned positive, which indicates rising market strength.
The Money Flow Index (MFI) has surged to 96.71. This is an extremely high reading, suggesting that buying pressure is currently dominating the market.
If this momentum continues, analysts believe SEI could reach $0.25 soon, particularly around the 0.236 Fibonacci retracement level. However, if bears regain control, the price could dip to $0.18 or possibly $0.16.
SEI/USD Daily Chart | Credit: TradingView
SEI is showing promising signs of a bullish reversal, both from a technical and fundamental point of view. The recent breakout from the descending channel, strong trading volume, bullish crossover, and its selection for the WYST stablecoin project all point toward a potential price rally.
Still, crypto markets are unpredictable. While indicators are flashing green, it’s wise to watch closely for any shifts in momentum or investor sentiment. If the trend holds, SEI could be setting the stage for a strong comeback.
