Sei (SEI) price has seen a 22% decline from its yearly high; however, technical indicators suggest recovery potential, supported by ecosystem growth.
Technical Analysis of Sei
The daily chart indicates that Sei has been in an uptrend since it reached a low of $0.1250 in April. This rebound has formed a series of higher highs and lows, creating an ascending channel. The token is now bouncing from the lower boundary of this channel. Sei has reclaimed the 50-day and 100-day Exponential Moving Averages, both serving as strong dynamic support. Additionally, the price has moved above the 23.6% Fibonacci retracement level. Therefore, technical indicators suggest that it has more upside potential as buyers look to target the upper side of the channel at $0.3890, which is 30% above the current level.
Sei Network Ecosystem Growth
Another bullish factor for Sei is its accelerating network growth. Data shows that Sei continues to dominate the gaming industry, with over 12.7 million unique active wallets in the last 30 days, making it the largest chain. Its transaction count has increased by 8%, reaching 36 million. The same trend is evident in Sei's stablecoin ecosystem, with the total supply rising to $268 million, close to its all-time high of $297 million. Additional data indicates a 91% surge in network transactions over the past 30 days to 51.2 million, while active addresses increased by 42% to 12.9 million.
Future Outlook for Sei
Given these various positive factors, including technical indicators and ecosystem growth, it can be inferred that the Sei token has growth potential. With its dynamic development and active participation in the gaming space, Sei is likely to demonstrate positive momentum moving forward.
Despite recent pullbacks, Sei (SEI) shows signs of recovery that may support further growth, particularly through the active development of its ecosystem.
