SEI Network, a rising altcoin in the crypto space, has recently reached a significant milestone. The network’s daily transactions have climbed past 1.5 million, and active wallet addresses now exceed 616,000. This uptick in activity has coincided with a notable price rally, with SEI gaining over 12% to trade near $0.21.

But as excitement builds, traders and analysts are asking whether this momentum is fueled by genuine adoption or if hype and speculation are driving the surge. Let’s take a closer look at what’s behind SEI’s recent performance and what lies ahead.

Organic Growth or Inflated Hype?

One important metric to consider is SEI’s Social Dominance, which recently hit 0.26%, marking its highest point in more than two months. This measure reflects how much attention SEI is receiving across social media platforms.

Alongside this, the weighted Sentiment index rose to 3.66, indicating strong community enthusiasm. Interestingly, this sentiment followed the surge in on-chain activity rather than leading it, suggesting that the excitement is more likely rooted in real network usage rather than speculative chatter.

However, analysts caution that sentiment alone can’t sustain a rally. If community excitement continues to climb without a corresponding increase in real adoption and network activity, SEI risks hitting a short-term peak. Maintaining balanced sentiment will be key to supporting further price gains.

Leveraged Positions Rise — Opportunity or Risk?

The derivatives market for SEI is heating up. Open Interest—the total value of outstanding futures contracts—jumped by 42.7%, while futures trading volume surged by 176.8%, reaching $502 million.

These numbers indicate that traders are increasingly taking leveraged positions, betting on continued price gains. While this shows conviction among traders, leverage also increases the risk of sharp liquidations if the price falters.

For now, the derivatives data signals bullish intent, but caution is warranted as high leverage can amplify volatility and downside risk.

Strongest Spot Inflows in Weeks Signal Renewed Interest

On the spot market, SEI recorded $2.19 million in net inflows—the largest daily inflow seen in weeks. This return of capital suggests sidelined investors might be re-entering the market, encouraged by the improving network metrics and social sentiment.

Combined with rising transaction volume and social engagement, these spot inflows strengthen the case for sustained upside momentum. However, it remains important for inflows to continue consistently to validate a genuine breakout.

Key Resistance Levels to Watch

SEI’s price recently bounced off a support zone around $0.1659 and was testing resistance near $0.2135 at press time. For SEI to confirm a new bullish phase, breaking above the critical $0.2766 resistance level is essential.

Clearing this hurdle could invalidate the broader downtrend that has capped gains for months and open the path toward a short-term target near $0.35.

Yet, this resistance has proven tough to surpass in prior attempts. Without rising volume and steady capital inflows, SEI’s price could stall and fall back into consolidation.

Current Price Structure and What Comes Next

For now, SEI’s recent price action shows a bullish alignment of key factors: rising user activity, positive sentiment, increased inflows, and leveraged trading positioning.

If these trends continue and the price manages to break and hold above resistance, SEI’s rally could gain fresh momentum. However, failure to breach the $0.2766 level might push the token back into sideways trading.

Traders should closely watch volume levels, spot inflows, and futures market dynamics in the coming days to gauge whether SEI’s breakout attempt will succeed.

Summary

• SEI Network daily transactions exceed 1.5 million, with over 616,000 active addresses.

• Social Dominance and sentiment rise in response to increased on-chain activity.

• Futures Open Interest and trading volume spike, reflecting higher leveraged bets.

• Spot inflows hit $2.19 million, marking renewed investor interest.

• Key resistance at $0.2766 must break for SEI to target $0.35.

• Price consolidation remains possible without sustained volume and inflows.

With its recent milestone and growing market interest, SEI could be on the verge of a significant breakout—provided the momentum holds strong.