The Sei (SEI) price has spent the past weeks under steady pressure, sliding lower and shaking out weak hands along the way. 

Now, the chart is starting to show signs that this move may be losing strength. Top analyst Sjuul from AltCryptoGems shared on X that SEI could be in the process of building a base, which often happens before a meaningful move higher.

This does not mean a rally is guaranteed, but it does suggest that sellers are no longer in full control.

On the chart, SEI has tested the same support area twice after a prolonged decline. Each time price reached that zone, it failed to push much lower and quickly bounced back above it.

That behavior matters because it shows buyers are stepping in at roughly the same price level. Instead of the SEI price continuing to fall freely, it is now reacting and stabilizing around this support.

More importantly, the second visit to that area did not lead to new lows. That usually signals that selling pressure is fading and that the market may be starting to build a floor rather than preparing for another leg down.

Right now, SEI is trading just above a clearly defined support zone. As long as price stays above that level, the structure remains constructive in the short term.

Above, there is a visible resistance level where price was previously rejected. This is the zone that needs to be reclaimed for any sustained upside to develop. Till then, the SEI price remains in the recovery phase rather than an uptrend.

Essentially, holding the support keeps the bullish picture alive, while breaking the resistance opens the gates to more follow-through.

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Moreover, Sjuul noted that the key is acceptance back above support.That means not just touching it, it means being above it and building up your own prices.

If the SEI price holds this level, starts making higher lows, it may be a sign that buyers are gradually gaining ground. Then, the jump to the next resistance level would be an impending target in the short term.

If, however, SEI loses this support and closes clearly below it, the entire setup would weaken and shift focus back to downside risk.

For now, SEI is in a waiting phase, as the weakness in the downside momentum that has characterized the past is declining, but no signs of a strong trend can yet be ascertained.

This will be the very first indicator of the reversal formation if the rise of the price can be sustained past the resistance level. However, the investors may remain cautious unless the SEI price rises past the support.

Overall, it would seem that SEI may be looking to establish a foothold, but the coming few sessions may be indicative of whether or not this is a pause or the beginning of something more.

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The post Sei (SEI) Price Could Be Forming a Base – What the Chart Suggests Comes Next appeared first on CaptainAltcoin.

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