Buyers eased the selling momentum after discovering dependable grounds within the $18 – $20 price range. Lessening correction on the charts saw AXS dipping into a constricted phase within its symmetrical triangle.
Axie Infinity might climb to test the hurdle at $24 if the breakout candle secures a decisive closing beyond the POC (Point of Control). While writing this content, AXS traded at $22.67, losing 8.71% within the previous day.
Axie Infinity Daily Chart
Sellers have visibly driven price actions in the Axie Infinity marketplace since the late sessions of March. Bears magnified their momentum as they provoked a downward channel devaluation on AXS’s daily chart. Red candlestick triggered a head & shoulder printed earlier this month.
A breakdown saw the alternative token hitting 9-month lows on April 30. Meanwhile, Axie Infinity saw a symmetrical triangle on the charts as it plummeted to the POC. Sellers tightened their control while the Exponential Moving Average ribbons refrained from looking southward.
If the efforts by buyers to topple the Point of Control bear fruits, the altcoin will clear the path to a near-term upswing. Though EMAs present an overstretched gap, they’ll still offer massive resistance amid buying rallies. Dwindling buyers plus a closing beneath the $20 region might see AXS retesting the baseline at $18 before bullish comebacks.
Reasoning
The Relative Strength Index highlighted gradual buying pressure surge as it swayed beyond the oversold area. The indicator requires a closing beyond the resistance at 36 to catalyze breakout rallies on AXS’s chart.
Moreover, reversals from the Chaikin Money Flow’s closest trend-line resistance would authorize a bearish divergence with AXS price.
Final Thought
Considering the prevailing market dynamics, buyers might experience massive challenges for a trend-shifting rally. A closing past the Point of Control might welcome near-term upswings, targeting $24- $26. Nevertheless, threats from the Chaikin Money Flow might halt short-term reversal chances.
Lastly, Axie Infinity boasts a 91% monthly correlation with BTC. AXS’s latest leg-up came as Bitcoin jumped beyond $30,000. Meanwhile, AXS fans should watch Bitcoin’s price action for money-making moves.
Stay tuned for the latest developments in the crypto space.
Editorial credit: Ira Lichi / Shutterstock.com
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