Fed Fears and Sell-Off Spark Sei's Post-Robinhood Slide

Sei Network's native token (SEI) experienced a turbulent debut on Robinhood, dropping 6%-10% within 24 hours despite gaining 15% prior to the listing, according to CryptoTimes. The token's inclusion on the Robinhood platform—accessible to 25 million users and over $13 billion in monthly crypto trading volume—was initially seen as a catalyst for growth. However, broader market pressures, including the Federal Reserve's warning of delayed interest rate cuts, triggered a $200 billion selloff in global crypto markets, dragging SEI and other altcoins into a downturn, Live Bitcoin News reported.

The price decline, which saw SEI fall to $0.19, was exacerbated by "sell-the-news" behavior, as traders cashed in gains after the listing announcement, CoinGabbar wrote. On-chain data revealed a 92% surge in trading volume to $155 million, though much of it stemmed from selling activity. Analysts noted that the TD Sequential indicator flashed a buy signal at $0.19, suggesting the level could act as short-term support, as reported by CryptoTimes. If buyers hold above this threshold, some predict a rebound toward $0.31, though the token remains in a bearish technical setup with a Relative Strength Index (RSI) of 26.88 and a bearish MACD crossover, according to CoinGabbar's analysis.

The Robinhood listing, while initially disruptive to SEI's price momentum, underscores the project's growing institutional and retail appeal. Just weeks prior, BlackRock and Brevan Howard expanded their tokenized fund operations onto Sei via KAIO, a regulated real-world asset platform. This integration allows investors to trade onchain representations of institutional funds, such as the BlackRock ICS US Dollar Liquidity Fund, directly on Sei's infrastructure, CryptoTimes reported. The blockchain's hybrid approach—combining high-performance Layer 1 technology with regulated finance—has positioned it as a bridge between institutional and retail markets.

Robinhood's decision to list SEI reflects broader industry trends, as traditional trading apps increasingly adopt crypto assets with specific use cases. Sei's native order-matching engine and parallelized execution—designed to minimize latency and front-running risks—align with Robinhood's focus on accessible, high-speed trading, CryptoMoon Press reported. The platform's 24-hour trading availability (excluding New York and Texas) has further expanded SEI's liquidity, though its price remains volatile amid macroeconomic uncertainty.

Market observers remain divided on SEI's near-term prospects. While short-term technical indicators hint at potential rebounds, broader crypto market conditions—marked by Bitcoin dipping below $110,000 and Ethereum under $3,900—pose ongoing risks, as reported by Live Bitcoin News. Over $1.2 billion in long positions were liquidated in the wake of the Fed's inflation concerns, deepening the downturn. However, long-term optimism persists. If SEI stabilizes above $0.18, analysts project a gradual climb toward $0.205–$0.215 in the coming weeks, with potential for $0.28–$0.35 by early 2026 if market conditions improve, according to CoinGabbar.

The listing also bolsters Robinhood's crypto credentials, mirroring its role in propelling other tokens. The platform's user base and regulatory compliance could attract traditional investors seeking exposure to emerging blockchain ecosystems, as noted by CryptoMoon Press. For Sei, the challenge now is maintaining institutional partnerships while regaining retail confidence—a test of its resilience as it enters 2026.