Sei (SEI) Price Action and Fundamentals Diverge, New Data Shows Its Ecosystem is Doing Well

Sei, a popular layer-1 network, has become one of the fastest-growing players in the crypto industry. By Aayush Sharma.

The price action and fundamentals of Sei (SEI) have diverged over the past few months. Its price has crashed by over 76% from its highest point in November. This decline has led to a nearly $2 billion wipeout, as the market cap has plunged from almost $3 billion to $865 million today.

On the other hand, DeFi Llama shows that the TVL in Sei’s ecosystem has surged in the past few weeks, even as other chains have shed assets. The network has over $414 million in assets, almost double its level in the same period last month.

This figure has also jumped to a record high in both US dollar and SEI terms. SEI’s growth was driven by the strong performance of most of its dAO. Yei Finance, a lending protocol, saw its assets jump by 103% in the last 30 days to $223 million.

Similarly, Sailor, Stargate, SiloStake, and Avalon Labs have seen millions of dollars pour into their platforms in the past few weeks.

More data shows that the amount of stablecoins in SEI has shot up to a record high this year. It moved to over $211 million, which is an indication that the network is doing well.

These numbers are significantly higher than those of other larger chains, such as Cronos and Cardano.

Meanwhile, SEI’s price has also plunged even after the developers announced that they would be placing a bid for 23andMe (NASDAQ:ME) data. The goal is to help secure the data of over 15 million customers from the now-bankrupt company.

The Sei Foundation is in the process of placing its boldest DeSci bet yet.

@Sei_FND is officially exploring the acquisition of @23andMe to defend the genetic privacy of 15 million Americans and ensure their data is protected for generations to come.

We believe user data should be alienable, and we’re committed to empowering users to select how their data is monetized.

Sei hopes to deploy this data on SEI, return it through an encrypted transfer, and allow them to select how their data is monetized. It is unclear whether Sei will win the auction process.

Sei price prediction: technical analysis

The daily chart shows that the Sei coin price has crashed massively over the past few months. It now sits at its all-time lows.

On the positive side, the token has formed a falling wedge pattern. This pattern comprises two descending and converging trendlines. These trendlines are now nearing their confluence level, where breakouts typically happen.

The price of SEI has also formed a slanted triple-bottom pattern. Therefore, the coin will likely rebound soon and test the crucial resistance level at $0.2917, the highest point on February 24, about 65% above the current level.