- SEI’s price is testing a strong support zone, aligning with a descending wedge pattern, often signaling a potential bullish reversal.
- Technical indicators show oversold conditions, with the Stochastic RSI at extreme lows and the MACD histogram declining, suggesting weakening bearish momentum.
- Analysts highlight $0.10–$0.20 as a strong buy zone, with potential breakout targets ranging from $0.40 to $0.70.
A recent analysis of SEI’s weekly chart by Alpha Crypto Signal indicates the token is concluding a corrective decline. The report notes that price action near key support may trigger a robust recovery if conditions improve.
Chart Analysis and Price Action
The weekly chart shows SEI completing its corrective decline phase. Price action forms a CD leg, and a wick into the boxed region finalizes this phase. The price has moved from a previous peak (Point A) to a strong historical support at Point D. This decline aligns with a bearish trend that traders monitor closely.
The analysis shows a descending wedge pattern on the chart. The formation typically signals a reversal toward higher prices. A tweet from Alpha Crypto Signal identifies the boxed region as a strong buy zone. The setup indicates that the current phase may soon end, paving the way for upward movement.
Technical Indicators Review
Technical analysis reveals that the Exponential Moving Average (EMA 9) stands at $0.2559. The price remains well below this level, which suggests short-term weakness. The Simple Moving Average (SMA 50) sits at $0.3998, reflecting a longer-term bearish trend. These averages set critical levels for potential reversals.
Volume analysis indicates a gradual increase in buying pressure near Point D. The trend shows accumulation as buyers enter the market. Stochastic RSI values are in oversold territory, with a K-line of 0.07 and a D-line of 5.10. Meanwhile, the MACD line is -0.0228, the signal line is -0.0415, and the histogram is -0.0642. These figures suggest that bearish momentum is weakening.
Possible Scenarios and Market Outlook
The bullish scenario calls for a bounce from the $0.10 to $0.20 support zone. A break above the EMA 9 could drive the price toward the $0.40 level and further to $0.60 to $0.70. Such movement would confirm a strong upward trend.
The bearish scenario emerges if the support zone fails. A drop below $0.10 could prompt further declines. The tweet advises traders to monitor volume and momentum indicators. SEI traded at $0.1945 with a 24-hour volume of $38,894,161 at the time of writing, reflecting modest price changes.
