The SEI price remains stuck in a deep bearish trend, even as the crypto markets experience a bullish push with Bitcoin trading above $71,000 and Ethereum around $2,200. The price has plunged heavily by 95% from its all-time high and is trading near the lower boundary of its identified demand zone. No clear reversal structure has emerged, and the current trade dynamics remain unattractive for new positions.
However, the real concern goes beyond the price action. Despite a period where its market cap increased after the peak, the token continued to decline, exposing a deeper structural issue: supply expansion is outpacing demand. This imbalance is now at the centre of SEI’s long-term recovery debate. Here are the top reasons why the SEI price is failing to break the $0.1 resistance.
SEI Market Cap Growth Failed to Support Price
At first glance, SEI’s market cap trend appears misleadingly strong. After reaching its all-time high near $1.14 in March 2024, the project saw its market cap rise again during the 2025 altcoin rally.
The market cap chart displays a significant spike when the price was at the ATH at $1.14 and when it reached $0.63. The circulating supply expanded significantly from nearly 3 billion to 5 billion tokens, diluting price gains. This creates a ‘market cap illusion’ where growth in valuation does not translate into a higher token price.
Token Unlocks Continue to Pressure SEI Price
SEI’s tokenomics remain a major source of downside pressure.
- Total supply: 10 billion tokens
- Circulating supply (April 2026): ~6.73 billion
- Monthly unlocks (peak periods): 100–150 million tokens
That translates to roughly 1.5–2% new supply entering the market every month.
Allocation Breakdown:
- 48% — Ecosystem reserve
- 20% — Team
- 20% — Private investors
- 9% — Foundation
- 3% — Launchpool
Token unlocks are scheduled to continue until 2032–2035, meaning supply pressure is not a short-term issue. Every rally now faces constant sell-side liquidity, limiting sustained upside.
Demand Collapse Adds to Bearish Pressure
While supply is increasing, demand has weakened sharply. Total Value Locked (TVL) has dropped from ~$600M to ~$40–60M. Daily fees and DEX volume have plunged to ~$368 and ~$9–10M, respectively. Besides, Stablecoin liquidity is largely bridged, not native.
The above levels reflect a broader trend where the capital entered during incentive phases but exited as rewards declined. The result is a double pressure effect where supply is increasing, and demand is decreasing.
SEI Price Structure Remains Weak
The daily chart of the SEI price shows a strong bearish trend, consistently forming lower highs since March 2024. The descending trendline remains intact, with the rally continuing to face constant rejection.
The price is stuck within a falling wedge, and after breaching the support zone, SEI is maintaining a sustained descending trend.
Key Levels to Watch:
- $0.24–$0.27: Major resistance zone (previous support)
- $0.60–$0.70: Macro rejection area
- $0.05: Current base range
Before any meaningful recovery can begin, the price needs to be reclaimed and held above $0.25.
What Will Make SEI Price Reach $0.10?
With a circulating supply of ~6.73 billion tokens, a $0.10 price implies a market cap of roughly $670 million. As future unlocks push supply toward 7.5–8 billion tokens, the required valuation rises closer to $750–$800 million. From the current market cap of ~$350 million, this figure translates to a 2x–2.5x expansion, which is achievable—but not without key shifts in market dynamics.
For the things to change in favour of the crypto,
- Demand must return: TVL, volume, and on-chain activity need to show sustained recovery, not incentive-driven spikes.
- Supply pressure must be absorbed: Ongoing token unlocks need consistent buy-side demand to prevent dilution from capping rallies.
- Structure must improve: Price needs to reclaim and hold above key resistance zones, especially the $0.08–$0.10 region.
Without that shift, even a 2x move risks being temporary, as continued unlocks could once again weigh on the SEI price.
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