By The SEI price hits a new high then pulls back while the Sponge v2 token presale offers an alternative speculative bet. Image by Fareed Mindalano, DALL-E 3.
Sei Network’s native token, SEI, has experienced a huge price surge over the past few weeks, spiking 25% over the past week alone, rising from $0.3508 up to $0.4488 as of writing. This latest uptrend comes as the blockchain sees growing usage and adoption.
The SEI price first showed bullish momentum earlier in mid-December, jumping over 87% within days.
This price movement aligned with updates about new features being added to improve Sei’s functionality and interoperability.
The developments seek to expand Sei’s capabilities in the broader blockchain ecosystem.
Subsequently, by December 25, SEI reached $0.3928, representing an 8% gain that contributed to the token’s notable weekly returns.
Additionally, yesterday’s near 28% boost drove SEI to a new all-time high of $0.5378, capping off a period of immense value accretion for the SEI price.
What’s Driving the Recent SEI Price Surge?
Several key factors explain the increasing enthusiasm for SEI among investors lately.
Wake up this morning and see this
Total Transactions on @SeiNetwork Mainnet Crossed 1 Billion
In Sei we trust pic.twitter.com/69D0iBEWKj
— Fin Wallet (@fin_wallet) December 25, 2023
The Sei Network surpassing 1 billion transactions marked a major milestone, demonstrating real-world adoption is growing.
Additionally, new partnerships with entities like Kryptonite and Gecko Terminal showcase Sei’s expanding ecosystem.
At the same time, planned upgrades like EVM compatibility make Sei more appealing for decentralized app developers.
Comparisons to networks like Solana have stoked expectations of SEI capturing higher valuations as adoption rises.
Backing by major venture firms like Multicoin Capital also lend credibility as Sei establishes itself as a promising Layer 1 contender.
Combined with bullish technical indicators, these tailwinds have accounted for SEI’s recent upside price action.
SEI Price Prediction and Technical Analysis
Source: TradingView / SEIUSDT
After posting triple-digit gains and reaching a new all-time high of $0.5378, the Sei Network (SEI) price has pulled back over 10% so far today.
With the SEI price is stabilizing above key support levels, technical indicators remain at a crossroads for the cryptocurrency.
The 20-day EMA for the SEI price currently stands at $0.3410, crossing above the 50-day EMA of $0.2684. Typically, this alignment is seen as a bullish sign.
However, the current downward price movement suggests some caution may be warranted before making major trading decisions based solely on this indicator.
The RSI plunged from yesterday’s overbought reading of 78.91 down to 68.48, coming off the peak.
While still in bullish territory, this drop towards 70 signals potential for a larger pullback after the uptrend.
The MACD histogram currently sits at 0.0146, down slightly from 0.0148 yesterday.
The minimal change in momentum indicates consolidation rather than a major trend reversal at this point.
With the SEI price pulling back from all-time highs, it faces initial support at the Fib 0.236 level of $0.4637.
This correlates with the psychological $0.45 level which has provided support today.
If sellers push the SEI price lower, stronger support may emerge between $0.3930 and $0.4196. This range aligns with the Fib 0.382 level at $0.4175.
To confirm further upside potential, SEI needs to reclaim resistance at $0.5378.
Beyond that, the Fib -0.236 level at $0.613 and the psychological $0.60 level may act as the next target.
Overall, the SEI price appears to be consolidating gains following the recent surge.
While deeply overbought RSI signals bounce potential, fading trading volumes highlight caution.
Patiently awaiting a directional catalyst within defined risk limits may be prudent.
A decisive break past $0.5378 resistance or a drop below $0.3930 support could set the next major trend.
What to Expect Next for SEI
The recent SEI price surge has generated excitement, but sustaining upside momentum depends on long-term adoption and development progress.
If the Sei team can deliver planned upgrades like EVM compatibility and cross-chain interoperability, it may expand potential use cases and users.
Onboarding new dApps and users would validate Sei’s value proposition. Forming integrations and partnerships to bootstrap network effects is also key for Sei as a new Layer 1. Real-world SEI adoption should justify positive price action based on fundamental utility.
While traders react to technicals, SEI’s long-term trajectory relies on Sei’s evolution as a smart contract platform.
Hitting milestones around performance, scalability, and functionality would cement Sei as an attractive blockchain option.
Execution risks remain though. Sei must deliver on its promises and differentiate itself from rivals in the coming months.
But if Sei achieves its roadmap goals, it may support a bullish long-term outlook on SEI.
While SEI’s fundamentals have helped justify its climb, other cryptocurrencies rely more on marketing and community sentiment.
Sponge v2’s ongoing token presale plans to leverage the power of memes and incentives to attract investor interest.
Sponge V2 Presale Offers Opportunity to Acquire Sequel to Popular Meme Coin
The developers behind the Sponge meme coin, which surged over 100x after its spring 2023 launch, have announced an updated version called Sponge v2 ($SPONGE).
The only way to acquire Sponge v2 at this time is by staking and locking the v1 version of the token.
No $SPONGE in your wallet? Don’t miss out, buy $SPONGE via the home page widget on our website.
Purchased tokens will automatically be staked in our V2 smart contract to secure a share of the V2 token once it launches
Time to absorb more damp!#SpongeV2 #MemeCoin #Alts pic.twitter.com/Z1UuSOAfIE
— $SPONGE (@spongeoneth) December 27, 2023
According to the project’s website, locked v1 tokens will generate staking rewards paid in v2 tokens for a period of 4 years at a variable APY.
The website also states that investors who buy and stake v1 tokens prior to the supply selling out will receive a 100% purchase bonus in v2 tokens.
The total supply of Sponge v2 is 150 billion tokens divided between allocations for staking rewards (43.09%), v1 purchase bonuses (26.93%), play-to-earn game development (4.47%), play-to-earn game rewards (8%), exchange liquidity (10%), and marketing (7.5%).
Sponge v2 will operate on the Ethereum blockchain as an ERC-20 token.
The Sponge v2 roadmap outlines several goals including listings on top exchanges like Binance and OKX as well as the launch of a play-to-earn game.
Rewards in v2 tokens will be given to players based on the game’s leaderboard system.
The original Sponge token gained substantial popularity in a short period, attracting over 20,000 social media followers within weeks of launch.
It also listed on major centralized exchanges like Gate.io and achieved a peak market cap of close to $100 million.
Building on the original token’s viral meme status, Sponge v2 seeks to become a fixture in the crypto space with incentives and utilities to deepen user loyalty.
The project shows promise to achieve mainstream adoption if it can follow through on ambitious roadmap goals.
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
The post Is It Too Late to Buy Sei? SEI Price Blasts Up 25% as Sponge V2 Prepares to Launch on Exchanges appeared first on Cryptonews.
