Sei Network's SEI Token Surges 325% as TVL Hits $3 Billion

SEI, the native token of the Sei Network, has been experiencing a significant rise in price due to strong on-chain growth. This growth is evident in the surge of the Total Value Locked (TVL), which has increased from $715 million to over $3 billion. Additionally, the number of daily active addresses on the network has grown from 61,000 to 260,000, indicating a growing adoption and utility of the network. The decentralized exchanges on the Sei Network have also seen a rise in volumes to $640 million, while the stablecoin supply, primarily USDC, has ballooned to over $200 million. These factors have boosted investor confidence in SEI, contributing to its price increase.

Technical analysis of SEI's price chart suggests a growing bullish momentum. The price has broken out of a long-term corrective pattern and is holding the ascending support. The MACD is about to undergo a bullish crossover, while the RSI is displaying a bullish divergence after rebounding from the lower threshold. This technical setup suggests that the SEI price is likely to rise above $0.2 and secure the resistance at $0.21. If the price rises above this range, the token may experience a 40% upswing and enter the crucial resistance zone between $0.39 and $0.4.

In contrast, SUI, the token of the Sui blockchain, has faced significant downward pressure in recent weeks. The main reason behind the drop is the decrease in open interest and the coiling bearish sentiment, indicating that traders are closing positions and moving to the sidelines. Unlike SEI, SUI has dropped below key support levels and moving averages, leading to holding above the $3 to $3.5 resistance zone. This has resulted in a bearish technical pattern, with the price repeating a previous pattern where it remained stuck within a falling wedge. The token withstood a Death cross within the wedge that dragged the levels down by more than 25%, reaching the support of the wedge. Currently, the price is already testing the support and another Death cross; the token may break the support. The CMF has been juggling within a narrow range around 0 since the start of the year, indicating no major money inflow.

If the SUI price survives the current condition and recovers above $3, then it may secure levels above $3.22. By validating a breakout above the wedge, the SUI price may begin a fresh bullish wave. Until then, the bearish clouds may hover over the rally. The recent token unlocks have also increased selling pressure, contributing to the price drop. Despite the short-term challenges, SUI may offer long-term potential. SEI, on the other hand, currently shows stronger momentum and investor confidence, with a probability of the formation of ‘w-shaped’ patterns and a potential target range between $0.25 and $0.27.