TLDR
- World Liberty Financial (WLFI), Donald Trump’s DeFi venture, purchased 541,242 SEI tokens for $100,000 USDC
- The investment pushed SEI price up by 7.3% amid broader market consolidation
- WLFI has invested $21.6 million since February in various cryptocurrencies including ETH, WBTC, MOVE, and SEI
- SEI recently hit its lowest price level since November 2023 at around $0.18
- Technical analysis shows SEI is at a potential reversal point, with key resistance at $0.22
In a bright spot amid recent cryptocurrency market turbulence, SEI has gained 7.3% in value following a fresh investment from World Liberty Financial (WLFI), Donald Trump’s blockchain venture. The price jump came after WLFI purchased 541,242 SEI tokens for $100,000 USDC at an average entry price of $0.185.
This latest acquisition brings WLFI’s total SEI holdings to 1.089 million tokens. The project has spent a cumulative $225,000 on SEI tokens to date.
Due to recent market fluctuations, the current value of these holdings has decreased slightly to $207,000. This reflects the broader volatility that has affected most digital assets in recent weeks.
The SEI token price bounced back from a low of $0.18, which marked its lowest level since November 2023. The token is now approaching the $0.20 mark, an important psychological level for traders.
Daily trading volume for SEI has also increased by 17% to over $127 million. This surge in volume indicates growing interest in the token despite the overall market correction.
Showing signs of a potential breakout
On technical charts, SEI is showing signs of a potential breakout from a descending triangle pattern on hourly timeframes. Analysts note that a decisive move above key resistance zones could trigger a more substantial price movement.
The token has been trading in a descending channel since reaching its peak near $0.73. Technical analysis suggests the current price action may be part of a corrective structure that could be nearing completion.
Key resistance levels to watch include $0.20-$0.22 in the short term. A break above this range could validate the start of a recovery wave, potentially targeting higher levels at $0.40 and $0.46.
Support remains solid at $0.175, which aligns with recent price action. If SEI breaks below this level, the bullish outlook may be invalidated, potentially leading to further declines toward $0.15.
World Liberty Financial has been buying the dip
World Liberty Financial has been on a crypto buying spree despite the market downturn. Since late February, WLFI has expanded its portfolio by investing $21.6 million in various cryptocurrencies.
Last week alone, the Trump-linked DeFi project invested $10 million each in Ethereum (ETH) and Wrapped Bitcoin (WBTC). These moves demonstrate WLFI’s commitment to building a diverse cryptocurrency portfolio.
In February, WLFI unveiled its new Macro Strategy Reserve initiative. This strategy aims to strengthen its presence in the cryptocurrency sector by diversifying holdings across various digital assets.
The reserve focuses on spreading investments to reduce market volatility risk. This approach is designed to ensure the platform’s long-term stability in the evolving crypto landscape.
WLFI also announced a partnership with Sui
Recently, WLFI also announced a partnership with Sui to explore development opportunities. As part of this collaboration, WLFI plans to build a strategic SUI reserve to further diversify its holdings.
Evang Cheng, a founding contributor to Sui, expressed optimism about the partnership. Cheng stated that the combination of Sui’s technology and WLFI’s vision could revolutionize global asset management.
Despite these positive developments, it’s worth noting that WLFI’s overall crypto portfolio is currently at a loss. The Trump portfolio, which holds nine different crypto tokens, is reportedly showing a cumulative loss of $124 million on investments totaling around $340 million.
For SEI investors, the immediate outlook will depend on whether the token can break above the $0.22 resistance level. Such a move would likely confirm the reversal pattern that many technical analysts are watching.
SEI’s price action in coming days will provide important clues about whether this recent rally has taying power or is merely a temporary bounce in an ongoing downtrend.
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