SEI Token Recovers 70% of Its Losses, Looks like a Strong Contender to Chase

Since early July, the SEI token has been recovering and retained over 70% of its gains. It conveyed the buyer accumulation from the lows.

The SEI token price showcased an impressive recovery from the lows, gaining over 70% and displaying a V-shaped recovery pattern on the chart. This bullish momentum follows a lower low formation and a bearish trend, indicating a potential reversal from the lows.

After forming a hammer candlestick at the bottom, the follow-on buying action from the lows justified an intense recovery and made SEI a strong contender to watch for the upcoming weeks. Notably, the token price encountered a trendline hurdle at $0.4100 and attempted to cross the cluster for a meaningful breakout.

If bulls manage to surpass this barrier, they could ride the bullish wave, whereas a failure and rejection around the $0.4100 mark might lead to a push toward the 20-day EMA at $0.3800. At press time, the SEI price traded at $0.4047 with an intraday surge of 15.96% and an impressive buying momentum.

Its trading volume rose over 101% to $136.43 Million in the last 24 hours. The pair of SEI/BTC was at 0.00000607 BTC, and the market cap was $1.08 Billion. Analysts remained bullish and suggested that the SEI price may register a channel breakout and deliver a sharp bullish rally ahead.

As we analyze the price action, a follow-on recovery from the demand zone of $0.2500 guided that buyers activated their muscles and anticipated stretching the pullback. For the mighty bulls, $0.4100 was the immediate hurdle to crack and show their presence. If they don’t, a rejection might spoil the initial gains and be treated as a retracement ahead.

Moreover, @CryptoFeras mentioned in his post that SEI has made a bullish retest continuation pattern and is ready for an upward move ahead.

The RSI saw a sharp vertical spike and noted a positive crossover, indicating a bullish momentum. Similarly, the Money Flow Index reading of 60 signified the upsurge was imminent.

The token’s TVL has unfolded an intense spike in the past few weeks and grew more than 280%. This sharp exponential rise highlighted the market trust in the SEI and the growth of the token.

The Weighted Sentiment data articulated a positive move and lifted to the positive region, noted at the 0.274 mark, revealing the shift in the market dynamics and positive sentiment among the investors.

The Social Volume data witnessed the descent participation by the investors on the social media platforms, noted at 10 mark. The immediate support levels for the SEI token are $0.4000 and $0.3800, whereas the key upside hurdle is around $ 0.4370, followed by $0.4700.