This is the reason why the price of SEI could increase by 120%.

Sei (SEI) has undergone a week of consolidation around the price level of $0.2887 after a volatile month of September, in which initial gains were wiped out. Data from TradingView shows a 33.7% increase in the first half of the month, but then a correction of 24.9%, resulting in no significant price change.

At the time of the press, SEI was trading near $0.3, recording an 8% increase over the last 24 hours. The trading volume increased by 30%, reaching 155 million USD, reflecting the return of investor participation.

SEI price chart | Source: CoinphotonThe main factor driving this sudden increase in SEI's price seems to be the strong recovery of Bitcoin (BTC) and other major assets over the past few hours. Additionally, another important factor contributing to the strengthening and driving up of the price is its solid fundamentals.

The fundamental factors of the network reinforce the case for SEI

Data shared on platform X has highlighted the expansion of the SEI network. The daily number of transactions has increased 16 times since September 2024, while the cumulative trading volume reached 73 billion USD in a year. This history has maintained a positive sentiment towards long-term adoption.

Looking at the price outlook for SEI, expert Ali Martinez made a bold statement. In a post on X, he stated that the price of SEI seems to be receiving support from the simple moving average 50 (50 SMA) on the three-day chart.

The last time this happened, the asset experienced a price increase of up to 120%, and this could happen again.

Technical setup indicates a level of $0.36 for SEI

According to technical analysis from Coinphoton, SEI is showing an optimistic trend and is likely ready for a strong price increase. On the daily chart, it has bounced from the support level near $0.272. If SEI's upward momentum maintains above $0.272, the asset could increase by more than 25% towards the level of $0.36 in the near future.

Source: TradingViewAt the time of reporting, the Bollinger Bands have signaled a reversal. The altcoin has bounced off the lower band, indicating potential upward momentum.

The liquidation map signals the position of the trader

CoinGlass has announced that the key liquidation levels for SEI, which are the points where traders are over-leveraged, are at $0.27 on the downside and $0.293 on the upside. At these levels, traders have built long positions worth $4.27 million and short positions worth $665.86K.

Nevertheless, this position indicates that buying investors are defending the $0.27 area, reflecting confidence that SEI will not drop below this level.

Mr. Teacher