Analysts are focusing on the price action of SEI after a popular trading indicator, TD Sequential, flashed a new buy signal, indicating potential recovery.
TD Sequential Signal as a Reversal Indicator
Analyst Ali pointed out that the TD Sequential indicator has shown high accuracy in predicting SEI's short-term tops and bottoms over the past two weeks. The latest signal appears as a green '9' candle, historically a sign of potential price reversals to the upside. This signal follows SEI's drop toward the $0.30 level, suggesting the market may be poised for a bounce.
Breakout from Falling Channel and Its Significance
Analyst Barry, known as ChartMonkey, shared another optimistic perspective, referencing analysis from CRYPTOMOJO_TA, indicating that SEI has broken out of a multi-week falling channel. The breakout occurred with strong momentum, pushing the price above the channel's trendline and into a key retest zone around $0.32 to $0.33. This breakout could signify a shift in market structure. If SEI holds above this zone, the next target could be around $0.50.
Short-Term Outlook and Support at Key Levels
The combination of Ali's buy signal and the breakout pattern identified by CRYPTOMOJO_TA suggests a positive short-term outlook for the SEI token. The $0.32 to $0.33 range is now a critical support area for bulls to defend. Sustaining levels above this range could lead to higher prices, while losing this zone might delay the bullish scenario.
Overall, the new buy signal and breakout from the falling channel indicate the potential for short-term recovery in the SEI token, provided that key support levels are maintained.
