The SEI price has been on a recovery in the last couple of weeks after taking a rebound from the $0.25 level. The last week saw an impressive gain of nearly 31%, suggesting a strong intent of recovery from the lows.
Furthermore, the price this week resumed to recover and added nearly 13% more to its value. However, the price seemed to lose momentum as it approached the resistance area. When writing, the SEI price hovered near a crucial zone, and it was difficult to decide on a clear trend.
SEI Token Unlocks On The Way
Sei is an innovation in the blockchain space specifically tailored to boost the efficiency and performance of decentralized exchanges (DEXs). It leverages a sector-specific Layer 1 blockchain architecture optimized for trading, which significantly enhances its security by addressing the unique requirements of DEXes.
It boasts a market capitalization of nearly $1.19 billion, ranking 68th in the cryptocurrency market at the time of writing. Out of a total supply of 10 billion SEI tokens, 3.17 billion are in circulation.
Moreover, SEI token unlock progress reveals that 31.75% (3.17 Billion SEI tokens) have been unlocked by now. Almost 44.75% (4.48 Billion tokens) of the supply are currently locked and 32.49% are untracked.
The most recent token unlock event is scheduled for August 15th, when 220.16 Million SEI tokens will be unlocked. The unlocked tokens will be allocated to foundation, ecosystem reserve, team, and private sale investors.
OI Data Shows Heightened Demand
The recent sessions have noted a sustained growth in the SEI price, rising 43% in the last couple of weeks. In tandem with the recent price surge, significant growth has been observed in on-chain metrics.
The open interest contracts have noted a robust growth of almost 100% in the last few weeks. The OI contracts saw a rise from nearly 25 Million to almost 49 Million, indicating almost 100% growth, as per an on-chain analytics website, “Santiment”.
The OI data revealed the number of open contracts in a cryptocurrency. A high OI data pointed to an increased number of investors, which may heighten the demand.
SEI Price at a Crucial Zone: What’s Next?
Despite the Optimism in the recent sessions, the long-term trend still favors the bearish side until the Sei price trades below the 200-day Exponential moving average. The price at press time hovered at a crucial zone from where both the breakout and breakdown were possible.
At the time of writing, the RSI line was placed close to 54.7 points, and that of the 14 day SMA line was close to 52.5 points. Both the RSI and SMA line were above the mean line and headed upwards, suggesting a trend continuation.
As per the combined analysis of OI data and RSI, it was evident that the bulls were dominant, and the price could continue to rise. On the higher side, the $0.45 level might act as a hurdle for the bulls. If it is surpassed, it may validate a bullish reversal in the crypto.
On the contrary, if the sellers make a comeback and the price slumps down below the $0.35 level, it may head for a bearish continuation towards the $0.29 level. Short-term traders and investors need to keep a close eye on these levels.
