Sei Price Seeks to Extend Decline Amid Decreased OI Data

SEI price failed to capitalize on gains from the previous week and slumped, losing even its latest gains. Moreover, on-chain data shows that Open Interest

Sei price dropped on Monday, continuing a decline from the previous week. The price fell nearly 3.74% intraday, and was trading close to the $0.27 mark at press time.

The bears seemed to be returning to the scene as the price slipped below the 20 and 50-day EMAs. Moreover, the price was lagging behind the 200-day EMA by 33%, indicating a long term bearish trend.

Sei price dropped further on Monday, losing even its latest gains. Moreover, on-chain data showed that Open Interest (OI) data dropped, raising concerns about another selling wave.

At press time, Sei was down nearly 3.74% intraday, trading close to the $0.27 mark. Let’s analyze Sei’s impact on investor sentiment in the short term and its ability to make a comeback from the lower levels.

Sei Price Seeks to Extend Decline Amid Decreased OI Data

The recent drop in the Open Interest data seemed to be indicating an increase in the bearish pressure in Sei cryptocurrency. The derivatives traders seemed to be liquidating the long positions, leading to the return of the bears.

As per Santiment, an on-chain data provider, the Open Interest contracts were nearly $71 Million out of which nearly $25 Million contracts have been liquidated. This indicated a 30% drop in the OI contracts.

Furthermore, the positive sentiments dropped in the recent sessions, leading to the weighted sentiment curve dropping below the zero line and into bearish territory.

The weighted sentiment is an on-chain indicator which reflects the combined trader-investor bias. Analysis showed that the weighted sentiment curve shifted to the bearish side.

Sei Price Prediction: Analysts Warns of Risk of Drop to Annual Lows

Sei price has been on a 7-day losing streak. The bears turned the tables in their favor once again as the price stepped below the dynamic support levels — the 20 and 50-day EMAs.

Moreover, the price was lagging behind the 200-day EMA by 33%, indicating a long term bearish trend. Intraday trading volume dropped 52% to $51.87 Million.

Sei is likely to touch down at the support levels of $0.25 and $0.22 if the bears consolidate their hold.

At the time of writing, the RSI line was at 41.4 points and that of the 14-day SMA line was at 50.82 points. A bearish crossover was observed between the RSI and SMA line, indicating continued selling in the short term.