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Sei token price has started the year well as its demand jumped. It jumped to a record high of $0.8055, 755% above its lowest level in 2023, giving it a market cap of over $1.7 billion. This makes it one of the biggest cryptocurrencies in the world.
Sei V2 launch ahead
Sei is a leading blockchain network that was launched a few months ago through the Binance Launchpool program. It is now the biggest Binance Launchpool crypto by market capitalization. The other players in the ecosystem are Sui, Beam, Klaytn, and Pendle.
Sei network’s ecosystem is still growing although it is substantially smaller than its peers. The key dApps in its ecosystem are Astroport, Levana Perps, Fuzio, and White Whale Dex. These DeFi dApps have a combined Total Value Locked (TVL) of over $6.39 million.
This means that Sei has a DeFi TVL to market cap ratio of 266, which is quite higher. In contrast, Ethereum’s figure stands at 9.6 while Tron has 1.3 and BNB Has a ratio of 13.77.
Sei price is rising ahead of the upcoming V2 launch as it seeks to become the first parallelized EVM blockchain. This means that any Ethereum or Ethereum Layer 2 application can deploy on Sei to harness its superior speed and throughput. The network will be able to handle over 28k batched transactions per second (TPS) and 390 ms time to finality.
In the first stage, SEI will move to Ethereum Virtual Machine (EVM), which will allow it to communicate with Ethereum. According to the statement, the testnet will happen in the first quarter and will be deployed in the first half of the year.
Sei’s surge has led to an increase in bearish liquidations. Shorts liquidations rose to over $804k on Tuesday while longs stood at $538 million. At the same time, futures open interest have jumped to a record high of $211 million.
Sei price forecast
SEI chart by TradingView
The daily chart shows that the Sei crypto price has been in a strong uptrend in the past few months. Its rally happened as part of the recent crypto comeback. Sei has remained above the 50-day and 25-day Exponential Moving Averages (EMA).
The Relative Strength Index (RSI) and the Stochastic Oscillator moved to the overbought level, signaling that it has momentum. Therefore, I suspect that the token will retreat and retest the key support at $0.5965, its highest swing on August 16th.
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