SEI chart flips bullish as price eyes $0.39 retest amid record network growth

SEI chart has flipped bullish, with the price tracking to retest $0.39. Meanwhile, the Sei network has hit a major milestone of over 1 million daily active wallets and record-high daily transactions.

After dipping to $0.16 in mid-June, Sei (SEI) price has rallied almost 150% to reach $0.39 peak in mid-July. At $0.39, the rally topped out and SEI price overcorrected to around $0.26, breaking the ascending trendline and dipping below the 20-day EMA.

However, sentiment appears to have flipped bullish following that overcorrection, with SEI price reclaiming the 20-day EMA and now moving parabolically toward the previously broken ascending trendline, which has turned into resistance.

If momentum holds and SEI breaks above the trendline resistance near $0.35, it’s poised to retest the $0.39 peak. Reclaiming that level could set the stage for a higher high, potentially somewhere around the 50% Fibonacci retracement level at approximately $0.43. From the current price of $0.32, this would mark 35% potential gain.

What’s driving SEI price?

SEI’s bullish technicals are developing in tandem with strong fundamental momentum. The Sei network has recently surpassed 1 million daily active wallets and hit an ATH in daily transactions. MetaMask’s integration of SEI as a default network further boosted adoption, positioning Sei as the leading EVM chain by weekly active wallets, outpacing Base and opBNB.

Institutional interest is rising as well, with Elixir launching fastUSD (a stablecoin collateralized by assets from major players like BlackRock, Hamilton Lane, and Apollo) on Sei. Additionally, Stargate Finance has moved over $500 million into the SEI network, reflecting growing trust and capital flow within its DeFi ecosystem.

With fundamentals stacking up in favor of a major rally for the token in this cycle, analyst Ali Martinez says SEI could surge to $4, noting its price action is closely mirroring Sui’s trajectory before it rallied to $5.