Trouble for Sei (SEI) Token as Analysts Predict Further Price Drop
Qadir AK3 Oct 20242 min read
As the total cryptocurrency market cap dipped over 2 percent in the past 24 hours, settling at approximately $2.23 trillion during Thursday’s early London session, Sei (SEI), a well-funded layer one (L1) blockchain, experienced significant double-digit losses.
This mid-cap altcoin, boasting a fully diluted valuation of around $4.1 billion and a daily average trading volume of about $412 million, fell over 11 percent in the last 24 hours, trading at approximately $0.415 at the time of this writing.
Here’s everything you must know.
Analyst Predictions – What Next for SEI?
The bearish sentiment in the crypto market is further amplified by Bitcoin’s midterm price movements, influenced by escalating geopolitical tensions in the Middle East. Notable crypto analyst Credibull Crypto suggests that Sei’s price may revisit this year’s lows of around 20 cents before potentially rebounding to reach new all-time highs.
In the daily timeframe, Sei’s price has formed a bearish divergence in the Relative Strength Index (RSI), indicating weakening momentum. Additionally, the altcoin has fallen back below the crucial 200-day Moving Average (MA), signaling that bulls are losing ground.
However, there is potential for a rebound, as the SEI price could find support around 33 cents if buying activity surpasses on-chain selling pressure.
Sei’s Growing Ecosystem
Despite recent price struggles, the Sei network has evolved into a dynamic web3 ecosystem, boasting over $187 million in total value locked (TVL) and more than $10 million in stablecoin supply. Notably, Sei’s TVL has surged year-to-date, driven by leading DeFi projects like Yei Finance and Dragon Swap.
Looking ahead, early investors of Sei are set to unlock approximately 372 million coins in the next three months. On October 15, 2024, the Sei network will release 124 million coins, which could further dilute the existing supply and potentially dampen bullish sentiment in the market.
Could Sei be the next big crypto success story? Tell us what you think.
