Surging CMF Suggests SEI Crypto Worth $5M Could be Liquidated Soon At $0.68
SEI crypto chart showed a promising outlook as it appeared primed for further upward movement after a period of consolidation.
Trading at $0.6724, SEI demonstrated substantial resilience and buying interest, as indicated by the Chaikin Money Flow (CMF) index, which remained in positive territory above the zero line. This suggested a strong inflow of money into the asset, which is a bullish signal.
After a recent rally that took the price from a low of around $0.30 to a high near $0.75, SEI has found interim support at the $0.67 level.
The price action has formed a series of higher lows, which aligns with the ascending trendline visible from early November. This pattern supports the bullish sentiment currently seen in the market.
Looking ahead, the next significant resistance was positioned at $0.7555, a level that previously acted as both support and resistance throughout the year.
A break above this could potentially propel SEI crypto towards the $1.00 psychological mark, a level not tested since early 2024.
On the downside, should SEI fail to hold the ascending trendline support, the next substantial support zone lies around the $0.50 region, where previous market structure break (MSB) points may offer some buoyancy.
Investors and traders will be closely watching the CMF for any signs of decreasing momentum which could indicate a shift in market sentiment.
However, as long as the CMF continued to show more capital entering than leaving, the outlook for SEI remained bullish, suggesting the potential for continued price appreciation as long as the broader market conditions remain favorable.
SEI/USDT Liquidation Risk
The liquidation heatmap of SEI revealed a critical juncture where price levels were closely watched by traders, especially in the $0.679 to $0.687 zone.
At these levels, the chart showed a considerable buildup of liquidation risks amounting to over $5 Million. This zone acted as a potential trigger for large-scale liquidations should the price of SEI ascend to or breach these levels.
SEI traded at $0.685804, dangerously close to the volatile range. The area indicated significant liquidation points that have been set by traders, predominantly those with leveraged positions.
The closer the price approached or exceeded $0.687, the more likely it is to trigger these liquidations, which could either lead to sharp price corrections or fuel further upward momentum by squeezing short positions.
The heatmap also displayed periods of lesser activity below the $0.66 mark, suggesting that downward moves could stabilize without triggering major liquidations.
Breaking past $0.687 could lead to rapid price changes, influenced by the unwinding of leveraged positions.
Number of SEI Crypto Active Addresses Hits ATHThe SEI network also has witnessed a staggering increase in active addresses, reaching an all-time high of 278,873.
This remarkable growth, up 718.67% over the last 30 days, showed a robust surge in user engagement and interaction on the network.
With over 250,000 wallets actively participating this month alone, the network’s activity highlights a potentially bullish trend for SEI.
This surge in active addresses indicated a growing trust and interest in SEI’s capabilities, suggesting that the network is not only attracting new users but also retaining them.
Such metrics were crucial for assessing the network’s vitality and future growth potential, positioning SEI as a significant player in the blockchain space.
The increasing daily engagement could lead to a further appreciation in SEI’s market value as demand for the token increases, driven by its expanding use case and network utility.
