Sei has entered one of its longest periods of sustained weakness since its launch, with the weekly chart printing nine consecutive red candles. The extended decline reflects persistent selling pressure that has dominated the market since the asset peaked near the $0.90 region in early 2024.
After that peak, Sei started a clear downtrend with lower highs and lower lows. The attempt to break through in late 2024 failed to break through the downtrend resistance, confirming ongoing bearish pressures.
The weekly moving averages are still pointing down, confirming strong selling pressures. If the overall channel is valid, it could be headed to a $0.035-$0.04 price range.
Also Read: Sei Network Surges to All-Time High While SEI Price Stays Near Support
Descending Wedge Signals Key Support Battle
The weekly chart indicates a descending wedge that is formed when a support line and a resistance line converge. The structure of a descending wedge is usually a bullish reversal.
However, in Sei’s case, its price is not moving towards a reversal. It is instead moving towards the lower edge of a support line that ranges between $0.06 and $0.08. There is a reduction in price volatility, as indicated by smaller candles.
Source: X
Another important aspect is the repeated test of the support trend line. It shows the importance of the level. If the level holds, the chances of a technical rebound increase.
The first indication of a change in the market structure would come from a move through the resistance trend line and the moving average ribbon.
If such a move does occur, the next levels to watch would be the levels around $0.15 and $0.20, where the asset sold was trading in the earlier stages of the cycle.
Sei Daily Chart Suggests Possible Recovery Scenario
The weekly trend is still down, but on a daily basis, things are a little different. According to crypto trader Whales_Crypto_Trading, Sei is currently moving inside a clear downwards channel on a daily basis.
Inside this channel, the price has been pushed back when it is close to the top edge and the 50-day moving average.
Source: X
These repeated failures demonstrate the sellers’ control of the market during the trend. The chart, however, indicates the price is near an important support level within the channel.
If the asset were to bounce off the midline of the channel, the analyst believes there is a possibility of a bullish move, which could take the asset between 100% and 150%.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
Also Read: Sei Ecosystem Growth Sparks Optimism as SEI Consolidates Near $0.07
