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Despite broader market weakness, $SEI, the native token of Sei blockchain, has stayed in uptrend mode, rising over 45% in three months and gaining 6.3% in the past week.
The $SEI rally could extend further, as a key bullish pattern emerges and exchange flows signal sustained accumulation. However, one trading cohort may be sitting in danger if prices keep climbing.
$SEI Exchange Outflows Continue for the 8th Straight Week
$SEI has been consistently pulled off exchanges for eight consecutive weeks. Last week alone, $SEI saw net outflows of $10.43 million, marking the second-largest weekly total since July’s peak. These continuous outflows reflect rising buying pressure and long-term conviction.
This demand uptick coincides with Sei’s recent push into institutional-grade offerings. The launch of Monaco, Sei’s Wall Street-grade trading layer, and the CBOE’s ETF filing have sparked fresh interest among big-ticket players.
Combined with a massive rise in active addresses and the total value locked nearing $626 million, the on-chain fundamentals continue to back the price trend.
Bullish Crossover Forms as Shorts Load Up
On the daily chart, $SEI is now flashing a classic bullish signal. The 100-day EMA or Exponential Moving Average is about to cross above the 200-day EMA, a move typically viewed as a medium-term buy trigger. If confirmed, this crossover could accelerate the ongoing uptrend.
EMA stands for Exponential Moving Average — a trend-following indicator that gives more weight to recent prices. A crossover happens when a shorter EMA (say, 100-day) moves above or below a longer one (like the 200-day), often hinting at a shift in market momentum.
Institutional and long-term swing traders use the 100-day/200-day crossover as a confirmation of a more reliable uptrend.
That’s where the risk to bears comes in. Over the past 7 days, $37.34 million in short positions have built up on Bitget alone, compared to $26.15 million in longs.
Liquidation maps reveal that many of these short trades are stacked around $0.32 to $0.36. If the bullish crossover fuels a quick price rise, those short positions could face cascading liquidations, pushing $SEI higher in a short squeeze.
A short squeeze happens when traders betting against a token are forced to buy it back at higher prices, pushing the price up even more.
$SEI Price Needs to Beat $0.35 to Open Room to $0.37
$SEI is currently trading near $0.32, just above the local support of $0.31. This range has acted as a consistent buy zone for bulls. To confirm the continuation of its rally, $SEI must cleanly break through $0.35, a level where it was previously rejected multiple times.
If this level flips, $0.37 becomes the next likely resistance.
Given the macro momentum, bullish EMAs, and consistent exchange outflows, the price structure remains tilted to the upside. However, any failure to flip $0.35 could give trapped shorts a temporary breather before bulls reload.
Also, if the $SEI price dips under $0.31 and tests $0.29, the short-term bullish trend might not hold.
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