Axie Infinity is a blockchain-based game built on the Ethereum network that allows players to breed, battle, and trade cute digital creatures known as Axies. The platform has become incredibly popular, with players earning rewards in the form of AXS, the native cryptocurrency of the platform. As of today, AXS is priced at $8.86, down 1.64% during the intraday trading session. The 24-hour low of AXS was $8.59, and the 24-hour high was $9.07.
Axie Infinity token price is currently below 20, 50, 100, and 200-Day EMA, indicating that it is in a downtrend. Since the start of 2022, the token has been in a steep decline, signifying that sellers were in control of the market. However, buyers entered the market and helped the token remain above the secondary resistance of $12.517. After September 2022, sellers took back the market, pushing the token below its primary support and forcing the token to hit its new 52-week low near the end of 2022. This indicates that the token was mostly dominated by the bears in 2022.
After the start of 2023, the token again started moving upwards with the support of bulls, breaking its primary support and resistance on its way up. Still, after reaching its secondary resistance, the token began declining because of the formation of an evening star chart pattern over the daily trading chart, indicating a strong trend reversal.
Despite the downtrend, the volume of the coin has increased by 4.71% in the last 24 hours, indicating that the number of buyers has increased. This shows that buyers are trying their best to reverse the trend. However, there seems to be no relationship between volume and the price of AXS, representing a weakness in the current bearish phase and a possible reversal.
Technical Analysis
RSI (Relative Strength Index) is decreasing in the oversold zone and showing a negative crossover, indicating that the sellers are coming in the majority and pushing AXS downwards. This suggests the strength of the current bearish trend. The current value of RSI is 37.36, which is below the average RSI value of 45.45.
On the other hand, the MACD (Moving Average Convergence/Divergence) and the signal line are decreasing but not showing a definitive crossover over the daily chart, which can support the RSI claims. Investors need to watch every move over the charts during the day’s trading session.
Conclusion
Axie Infinity price analysis suggests that it is in a downtrend. 2022 can be said to be not so good for the token as the token was in constant decline throughout the year, as the daily chart shows. Due to this, the token hit its new 52-week low near the end of 2022. After the start of 2023, the token was rising constantly, but after the formation of the evening star chart pattern over the daily chart, the token again started declining. Despite the downtrend, the increase in volume shows a positive market sentiment towards the token. RSI and MACD both are decreasing and showing negative crossover over the daily chart, which indicates strength in the current bearish trend, as per the technical indicators.
The resistance levels for AXS are $10.788 and $12.517, while the support levels are $8.347 and $6.109. Investors should keep these levels in mind while trading AXS. It is essential to keep a close eye on the charts and technical indicators to make informed trading decisions. Additionally, investors should keep an eye on the developments and updates related to the Axie Infinity platform to understand the platform’s impact on the token’s price growth.
