TLDR
- World Liberty Financial (WLFI), Donald Trump’s DeFi venture, purchased 541,242 SEI tokens for $100,000 USDC, pushing SEI’s price up by 7.3%.
- WLFI has invested $21.6 million in various cryptocurrencies since late February, including Ethereum, Wrapped Bitcoin, Move, and SEI.
- SEI hit its lowest price point since November 2023, reaching around $0.18 before showing signs of recovery.
- Technical analysis shows SEI in a descending triangle pattern with potential for a breakout above the $0.20-$0.22 range.
- WLFI has also partnered with Sui to explore development opportunities and build a strategic SUI reserve.
The price of SEI cryptocurrency has jumped 7.3% following news that World Liberty Financial (WLFI), a DeFi venture backed by Donald Trump, purchased 541,242 SEI tokens. The acquisition, valued at $100,000 USDC, came at an average price of $0.185 per token and has helped push SEI closer to the $0.20 mark.
This purchase occurs as SEI was testing a key demand zone around $0.18, which marked its lowest level since November 2023. The token had been trading in a descending structure for several months before this recent uptick in buying interest.
The investment has sparked fresh market activity for SEI. Daily trading volume increased by 17% to more than $127 million, showing renewed interest in the token. This surge in trading happened during a week when much of the broader crypto market faced corrections.
SEI Price
WLFI now holds approximately 1.089 million SEI tokens in total. The project has spent a combined $225,000 on these acquisitions. However, due to recent market movements, the current value of their SEI holdings has dipped slightly to $207,000.
Technical analysis of SEI shows the token positioning for a potential short-term breakout from its descending triangle pattern on hourly charts. If SEI can close above the $0.20-$0.22 range, this could confirm the start of a recovery wave.
The Elliott Wave count suggests SEI may be completing a corrective phase. The structure aligns with an extended W-X-Y-Z pattern, with wave Z potentially marking the cycle low at around $0.18. This region also corresponds with a key horizontal demand zone.
Key resistance levels to watch include $0.2035 as immediate resistance, $0.22 as a wave target, and $0.25 as a structural breakout level. Support remains at $0.175, with $0.15 serving as a critical level that could invalidate the bullish outlook if broken.
WLFI Buying Spree
Despite the Trump portfolio sitting on overall losses, WLFI has been on a crypto buying spree. The project has invested $21.6 million in various cryptocurrencies since late February. These investments include major assets such as Ethereum, Wrapped Bitcoin, and Move, in addition to SEI.
Just last week, the DeFi project invested $10 million each in Ethereum and Wrapped Bitcoin. These moves come as part of a broader strategy to build a diverse crypto portfolio.
In February, WLFI unveiled its new Macro Strategy Reserve initiative. This strategic move aims to strengthen its position in the cryptocurrency sector by diversifying holdings across various digital assets.
The reserve’s focus is on spreading investments to reduce the impact of market volatility. This approach seeks to ensure long-term stability and sustainability for the platform as the crypto landscape continues to evolve.
Beyond its SEI acquisition, WLFI has also formed a partnership with Sui to explore development opportunities. As part of this collaboration, the project will build a strategic SUI reserve.
Evang Cheng, a founding contributor to Sui, expressed optimism about the partnership. Cheng stated that combining Sui’s advanced technology with WLFI’s vision could transform how assets are stored and used globally.
The Fibonacci retracement analysis for SEI shows $0.32 as a major resistance level, which represents the 0.786 retracement level. This will likely serve as the ceiling for any relief rally in the near term.
Technical indicators show the RSI has been in oversold territory, suggesting selling exhaustion. A bullish divergence on the RSI could signal a shift in the prevailing trend.
For SEI to confirm a trend reversal, breaking above the descending trendline that has controlled price action for months will be crucial. In the one-hour timeframe, the structure suggests the early stages of an impulsive recovery may be forming.
This investment comes at a time when the Trump portfolio, which holds nine different crypto tokens valued at around $340 million, is currently sitting on a cumulative loss of approximately $124 million due to recent market fluctuations.
