SEI tests key support levels at $0.118 and $0.113. Bitcoin’s influence and careful risk management will determine the next move.
SEI is approaching important support levels, and traders are focused on whether the price will hold or drop further.
After recent movements, the market is testing key areas that could define its next move. This is a critical time for traders, as the price action at these support levels will determine the direction of SEI in the short term.
Key Support Levels to Watch for SEI
SEI is now testing the $0.118 support level, a critical zone for potential long plays. If the price holds and consolidates here, it may present an opportunity for traders to enter long positions.
A reversal from this level could push SEI towards the $0.134 resistance. However, the success of this move depends entirely on the price respecting the $0.118 level in the coming days.
If SEI fails to hold the $0.118 support, the next key level to watch is around $0.113.
This support box could also provide a good entry point if price tests it, consolidates, and shows signs of reversal.
Traders will be cautious here, waiting for confirmation before making any decisions. In this case, patience will be essential to determine if the trend truly reverses at the lower support.
Overall, the market will reveal its next move based on how SEI reacts to these support levels.
A price bounce off either level could open the door for a larger rally, while a break lower could lead to more downward pressure.
Bitcoin’s Influence on SEI’s Price Action
Bitcoin’s movements play a major role in the price action of altcoins like SEI.
As observed by market expert Lennaert Snyder on December 21, 2025, “$SEI is following our plan perfectly,” after breaking below the $0.1106 support.
He mentioned that, depending on Bitcoin’s next move, SEI could continue its downtrend.
Specifically, the confirmation to scale into a short was either a loss of the ~$0.1101 level or a failure to hold the ~$0.1121 weak highs.
Bitcoin’s performance, particularly whether it breaks below its recent monthly low and reverses, could influence SEI’s price action significantly.
If Bitcoin rebounds from a support level, it may provide the momentum needed for SEI to recover.
As noted by Snyder, “When BTC decides to make a bullish run, I’m monitoring SEI closely around ~$0.1124 resistance,” which could offer an entry point for long positions.
However, if Bitcoin shows continued weakness, it could drag SEI down with it. For this reason, traders should stay vigilant and monitor Bitcoin’s movements closely.
If Bitcoin starts to show strength, SEI might hold its support levels and start moving higher again.
Understanding Bitcoin’s influence on SEI will be crucial for traders in the coming days.
Related Reading: SEI Breaks Above 21-Day MA and Starts New Uptrend With Target Zone at $0.24-$0.26
Market Sentiment and Risk Management
The current market sentiment is cautious, with many traders uncertain about SEI’s next move.
While some are hopeful for a rebound, there’s still a lot of risk due to weak weekend volume and broader market concerns.
As such, many traders are waiting for clearer signals before entering new positions.
In times like these, risk management becomes even more important. Traders should use stop losses to protect against potential breakdowns below key support levels.
Ensuring that trades are well-managed will help mitigate the impact of unexpected market moves, especially in such volatile conditions.
Although SEI has potential for a rebound, traders must remain vigilant.
The market can change quickly, and having a solid risk management strategy in place is crucial for navigating these uncertain times.
Patience and careful monitoring will be key as the price action unfolds.
Source: https://www.livebitcoinnews.com/will-sei-hold-key-support-or-drop-to-new-lows-heres-what-to-watch/
