Key Takeaways
SEI made waves by rallying nearly 1,000% in a five-month period starting in November 2023. While this led to a new all-time high price in March 2024, the tides have turned since.
SEI plummeted nearly 80% until August, sparking concern that the bullish cycle may be over.
While SEI started a relief rally afterward, this only created a lower high and another decline starting in December 2025.
Nevertheless, the price shows bullish signs and could form a local bottom if it breaks out from its descending wedge pattern. Let’s look at the price movement and see how likely that is.
The SEI price has fallen since its high of $0.74 in December 2024. The downward movement led to a low of $0.29 on Jan. 29, 2025, a 60% decline from the aforementioned high.
The downward movement also caused a breakdown from the $0.35 horizontal support area. This is a critical area since it initially provided resistance but then turned to support in November 2024 (white icon). So, the breakdown below it shows that the entire bullish structure is at risk.
However, the SEI price is attempting to reclaim the horizontal area again. The resistance also coincides with the trend line of a descending wedge, so a breakout from both would confirm that the previous decline was just a deviation and could lead to higher prices.
In case of a reclaim, the closest resistance will be at $0.51, a Fibonacci and horizontal resistance level.
Technical indicators show some bullish signs. The most visible is the bullish divergence (green) in the Moving Average Convergence/Divergence (MACD), which has developed throughout the entire duration of the wedge.
Also, the Relative Strength Index (RSI) moved outside of its oversold territory, another positive sign associated with bullish trend reversals.
Therefore, the daily time frame chart gives a bullish SEI prediction, indicating that a breakout from the wedge and $0.35 area is the most likely future outlook.
Even though a breakout is likely, the wave count suggests the ensuing SEI price increase will simply be a relief rally.
This is because of the decline since the high is a five-wave downward movement (black), where wave five develops into an ending diagonal.
Additionally, the increase preceding it is a three-wave A-B-C structure, meaning that the trend is likely bearish.
If the count is accurate, the SEI price has started an A-B-C structure, leading to the breakout from the wedge and $0.35 horizontal area.
However, the upward movement will likely end near the 0.5-0.618 Fibonacci retracement resistance area at $0.51-$0.57, after which another downward movement to new lows will likely occur.
The SEI price has struggled mightily since the beginning of December 2024, losing nearly 60% of its value.
While a significant rally toward $0.51-$0.56 is expected, it is unlikely that SEI will begin a bullish trend reversal.
Rather, the most likely future outlook is a relief rally that leads to a lower high and new lows.