- Sei’s network growth accelerates, with active addresses crossing 600K and transactions topping 1.6million.
- SEI faces stiff resistance at $0.30 as derivatives sentiment remains bearish despite recovery.
Over the past six months, Sei [SEI] recorded significant network expansion.
In fact, Active Addresses jumped from 250K to 600K, and Daily Transactions crossed 1.6 million.
This strong, sustained growth gave a perception of rising user engagement and consistent utility gains, which could be a reflection of increasing developer traction or successful dApp deployment on the network.
And yet, despite strong on-chain momentum, SEI traded at $0.279, down 1.15% on the day, as bulls fought to cement recent gains.
Can SEI bulls finally crack the stubborn resistance wall?
Even after a clean bounce from $0.25 support, SEI continued to stall near the $0.29–$0.30 resistance band.
This resistance has acted as a key supply zone since February, rejecting multiple bullish attempts. Although the price recently pierced the range, it has yet to close convincingly above it.
A confirmed breakout would pave the way toward $0.337, while a rejection may force another test of $0.254. Therefore, bulls must sustain pressure at current levels to maintain momentum.
Source: TradingView
Why everyone is suddenly talking about SEI
Social Dominance for SEI spiked sharply, reaching as high as 0.59% before cooling to around 0.25%.
This rise in social mentions reflects heightened trader attention and increasing speculative interest. Historically, such spikes often align with strong market moves.
However, if not supported by new buyers or development milestones, this surge could quickly fade.
What THIS reveals about market sentiment
Even as SEI recovers, Funding Rates stayed negative, around -0.02% across top exchanges.
That signaled a bearish tilt, with more traders betting on downside. Interestingly, this skew opens the door for a short squeeze if bulls hold key levels.
So, while caution dominates the derivatives space, the setup for a surprise upside move remains intact.
Too many shorts, too little belief?
The Open Interest-Weighted Funding Rate sat at -0.0129% as of the 2nd of July, highlighting that leveraged traders still lean bearish.
Even with price bouncing off support and network metrics improving, the lack of bullish conviction in the derivatives market suggests disbelief in the current rally.
However, this kind of sentiment mismatch often leads to sharp moves when traders are caught offside. Hence, SEI could surprise to the upside if spot demand continues to build.
Will Sei turn rising network strength into price breakout?
Sei’s massive surge in active users and transactions shows that network fundamentals are improving rapidly. Yet, price remains stuck below a critical resistance zone as traders hesitate.
If Sei manages to flip this resistance into support while sentiment stays skeptical, it could trigger a powerful rally fueled by a short squeeze and retail momentum.
Until then, all eyes remain on the $0.29–$0.30 level for confirmation.
