Traders Pile Into Explosive Sei (SEI) Price Breakout as Altcoins Surge: What’s Next?

The Sei blockchain’s native SEI token has climbed 25% across the last week, reaching a market cap crossing $1.8 billion. Propelling gains is a mix of technology upgrades, expanding network adoption metrics, and bullish marketwide momentum.

TLDR

• Sei blockchain upgraded its Devnet to be compatible with Ethereum Virtual Machine (EVM), opening up more decentralized app potential.
• Sei promotes itself as a high-speed parallelized blockchain good for trading apps and exchanges.
• The native SEI token has surged over 25% in the past week to a market cap over $1.8 billion.
• On-chain data shows Sei network activity and user counts growing recently, correlating with price gains.
• If SEI price breaks past psychological resistance at $0.75, it could target $1.08 next according to technical analysis.

On the tech front, Sei launched its Devnet V2 on February 13th with expanded compatibility for the Ethereum Virtual Machine (EVM). This allows developers to deploy decentralized apps designed for Ethereum over to Sei’s high-throughput blockchain architecture.

The upgrade signals a key step in enriching Sei’s early-stage ecosystem. By opening its network to the thousands of EVM-based apps dominating areas like decentralized finance, Sei can better position itself as a viable alternative “Layer 1” smart contract platform compared to rivals.

Sei touts unique technical architecture blending aspects of Ethereum and Solana. Its “parallelized” design splits transaction processing across multiple nodes to achieve blazing speeds. This makes it especially attractive for trading platforms and exchanges dealing with high throughput demands.

Usage Metrics Spotlight Network Growth Trajectory

Alongside the EVM upgrade news, on-chain usage data reveals an expanding Sei user base correlating with the SEI price breakout. Per recent reports, Sei has added over 20,000 new users in the past week, taking its total user tally north of 950,000.

Impressive weekly performance for SEI

– 22k new users
– 174k active users
– 950k total users

SEI is progressively increasing its activity and user count day after day

Now imagine the activity on SEI in 1-2 years pic.twitter.com/CTn8y80Z9H

— Aaron (@AaronSage) February 11, 2024

The growth trajectory shines compared to the less than 4,500 daily active users on Sei six months ago. As more activity floods in from traders and decentralized app users, corresponding value measured by total value locked has also swelled to reach an all-time high.

The technical upgrade and on-chain activity arrive at an ideal time given the rebound for crypto markets to start 2024. Sentiment has turned strongly bullish industry-wide, with crypto fear and greed indices tapping “extreme greed” levels that often precede rally waves.

In this environment, fundamental announcements can serve as key catalysts for altcoins to capture investor attention. The 25% SEI price spike suggests the asset is benefiting already.

SEI Price Breakout Could Target $1 If Resistance Breached

From a charting perspective, SEI appears positioned to capitalize further if key technical levels are surmounted. After bouncing from 50-day moving average support, SEI has retraced almost 30% of its prior correction.

If SEI bulls can build enough momentum for a daily candle close over the $0.75 resistance zone, that could set the rally in motion toward topping out around the $1.08 price point. Given the supportive backdrop, traders clearly view the low $0.70s as providing an attractive risk/reward entry for upside exposure.