Sei Network’s TVL Hits New High Amid Regulatory Approval and Potential 2025 Price Support

• Sei Network’s Total Value Locked (TVL) has surged to an unprecedented $626 million, marking a significant milestone in DeFi expansion and investor confidence.

• The network’s recent regulatory approval in Japan and a notable increase in daily active addresses underscore its growing global footprint and robust ecosystem development.

• Despite a steep 78% price correction since March, market analysts identify $0.2540 as a crucial support level, signaling potential for a price rebound in 2025, according to COINOTAG sources.

Sei Network’s TVL hits $626M amid Japan regulatory approval and rising active addresses, with $0.2540 support key for 2025 price recovery prospects.

Sei Network’s TVL Reaches New Heights, Cementing DeFi Leadership

Sei Network has demonstrated remarkable growth in the decentralized finance sector, with its Total Value Locked (TVL) climbing to an all-time high of $626 million. This surge positions Sei as a formidable competitor to established blockchains like Ethereum and Solana, highlighting its increasing appeal among DeFi users and investors alike.

Analyst Kyledoops on X emphasized the influx of capital and heightened on-chain activity, stating, “With more capital flowing in and more on-chain activity picking up, the SEI ecosystem’s clearly pulling in fresh attention.” This momentum reflects the network’s ability to attract both retail and institutional participants, driving sustained ecosystem expansion.

Data from DeFiLlama illustrates a consistent upward trajectory in Sei’s TVL since early 2024, escalating from approximately $60 million to nearly $700 million. X user Ronin noted this growth as exceptional, contrasting it with other blockchains that typically experience 10-50% TVL increases annually. Such rapid expansion underscores Sei’s unique market positioning and investor confidence.

Japan Regulatory Approval Fuels Ecosystem Expansion and User Growth

Sei Network’s recent approval by the Japan Financial Services Agency (JFSA) marks a pivotal development, granting access to one of the world’s most stringent regulatory environments. This endorsement not only enhances Sei’s credibility but also facilitates broader adoption within Asia’s lucrative crypto markets.

Artemis Analytics reports a surge in daily active addresses to a two-year high, a direct consequence of regulatory clarity combined with growing ecosystem activity. This dual catalyst has attracted a diverse investor base, reinforcing Sei’s foundation for long-term growth and innovation.

Price Volatility and Critical Support Levels: Navigating SEI’s Market Dynamics

Despite the impressive TVL and regulatory milestones, SEI’s token price has experienced significant volatility. After peaking in March 2024, the price has retraced over 78%, currently trading near $0.2649. Market analyst ChiefraFba highlights the $0.2540 level as a vital support on the 8-hour chart, suggesting that maintaining this threshold is crucial to avoid further downside risks.

Failure to hold this support could precipitate a correction toward $0.2000, posing challenges for investors amid broader market fluctuations. However, the ongoing ecosystem developments, including the proposed SIP-3 transition to an EVM-only model, indicate strategic efforts to enhance network compatibility and attract developer interest.

Strategic Network Upgrades and Institutional Interest Bolster Future Outlook

Sei Labs’ proposal to shift the network architecture by removing CosmWasm and native Cosmos support in favor of an EVM-only model reflects a strategic pivot aimed at streamlining development and increasing interoperability. This move is expected to attract a broader range of decentralized applications and institutional players, further strengthening the network’s ecosystem.

Additionally, the US government-backed stablecoin pilot and growing institutional participation have contributed to a 100% price surge in June, demonstrating renewed market confidence despite recent corrections. These factors collectively suggest a foundation for potential price recovery and sustained growth in 2025.

Conclusion

Sei Network’s explosive TVL growth, regulatory approval in Japan, and rising daily active addresses highlight its expanding influence in the DeFi landscape. While price volatility presents near-term challenges, critical support levels and strategic network upgrades provide a framework for potential recovery and long-term value creation. Investors and stakeholders should continue monitoring these developments closely to capitalize on Sei’s evolving opportunities.