Key Indicator Flashes ‘Buy’ Signal for SEI, But You Might Want to Wait

Something interesting is happening around SEI price again. A crypto analyst Ali noted on X that SEI chart just flashed a TD Sequential buy signal. This signal often appears when a trend is losing strength. This hints at a possible short-term reversal. It has brought fresh attention to SEI after weeks of falling prices.

According to Ali’s observation, SEI appears to be approaching a possible bounce. The TD Sequential signal he mentioned tends to show up when selling pressure is fading, creating conditions for a recovery. Traders often watch it closely because it has a history of marking turning points during extended downtrends.

Sei’s price has made a little upward moves since the signal appeared. This raises hopes of a rebound. Momentum indicators suggest that the market might be oversold. This gives short-term optimism.

All these signs hint that SEI price could be setting up for a relief rally if buying volume increases. However, one signal alone isn’t enough; the bigger chart still calls for caution.

Why SEI Traders Need to Be Careful Despite the Signal

The daily chart shows a more complicated picture. Since April, SEI had been climbing steadily, bouncing several times from a key ascending support line. Each rebound helped the token maintain its uptrend.

SEI Price Chart

That structure broke down in mid-October when SEI fell through the trend line for the first time in months. After dropping below it, the price made a brief return to test that same line this time acting as resistance instead of support. The token has since turned lower, signaling that sellers still control the market.The price seems to be a pullback in a bigger downtrend. It’s not a full recovery yet. SEI will stay bearish until it breaks and holds above the trend line. That means the ongoing move might only be a short-lived bounce.

Read Also: Here’s Why Monero (XMR) Price Could Shock Bears After THORChain Integration

What to Watch Next for SEI

SEI now sits at a technical crossroads. A clean move above the old trend line could change sentiment and attract more buyers. If it stays below it keeps the bearish setup hopeful. Watching price reaction near that resistance will be key to understanding whether the token is stabilizing or simply pausing before another leg down.

Ali’s buy signal may have sparked interest, yet chart behavior still leans toward caution. SEI might indeed be preparing for a bounce, though the trend remains fragile. 

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Temitope Olatunji
Temitope Olatunji

Temitope is a seasoned writer with over four years of experience. He specializes in Web3 and FinTech topics and enjoys creating content in these areas. He holds both a bachelor's and master's degree in Linguistics. When not writing, he trades forex and plays video games.

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