SEI price has retreated after a recent 79% rally and is now testing a key support level, with technicals signaling potential for further upside.
After a clean and explosive breakout from a descending channel on June 20, Sei (SEI) price surged to $0.34, marking a ~79% pump from the breakout level near $0.19. Since then, it has pulled back to $0.27, but remains well above the 20 EMA and 50 SMA, which continue to hold a bullish crossover that formed post-breakout.
SEI price is now testing a key level — the first significant swing high within the descending channel — which previously acted as resistance and is now being retested as support. This retest could confirm the breakout and set the stage for further upside if it holds.
Importantly, the pullback occurred on declining volume, which means it’s likely a healthy retrace rather than the start of a broader correction. The price is also respecting a short-term ascending trendline drawn from the breakout low, adding significance to this level of pullback.
Momentum indicators support the bullish outlook. The RSI is at 61, having cooled off from overbought levels, but is still in the bullish territory. There’s room to move higher before hitting overheated conditions again. The bullish crossover is still intact on the MACD, and the histogram continues to print green. Although momentum has slowed — which is expected during pullback — it’s not reversing yet.
Overall, the chart remains structurally strong and primed for another leg higher. However, for the uptrend to confirm continuation, price must form another higher high above the $0.34 resistance level. A strong daily close above this level would open the door to the next target range between $0.35 and $0.40.
Alongside its bullish chart setup, Sei also benefits from several promising developments on the fundamental front. Notably, Circle, which recently completed its blockbuster IPO, disclosed in its filings that it holds 6.25 million SEI tokens. Sei is also one of the blockchain networks under evaluation by the Wyoming Stable Token Commission for the WYST stablecoin. There’s also Canary Capital’s recent filing for a staked SEI ETF, which is currently being reviewed by the U.S. Securities and Exchange Commission.
