- AXS back on the way up post 50% correction
- AXS/USD logs more than 40% gains in the latest rebound rally
- The NFT gaming cryptocurrency could hit a new all-time high in the near term
JAIPUR (Coinchapter.com) — Axie Infinity (AXS) is back in the bullish scenario, courtesy of the cryptocurrency market’s latest rebound run. AXS/USDT spot rates had retracted by more than 50%, from their all-time high of $29.2 to $14.05. But bulls took over and almost nullified all of the losses.
In the last 24 hours, buyers piled in en-masse and pumped the NFT gaming asset’s price from $14.6 to $24.73. With the buying pressure looking hot, the rally doesn’t seem to die down and could continue a whole lot longer.
4-Hour Technical Setup
The 4-hour chart of Axie Infinity’s governance cryptocurrency is screaming bulls. After bottoming near 38, the RSI (Relative Strength Indicator) wave is back on the way up, currently trending at 65.
Also, after a deep bearish correction, buoyed by the frantic bullish pressure, the MACD (Moving Average Convergence Divergence) indicator too has moved out of the red zone and is back to tracing a full-fledged bullish cycle.
Rallying upside from lows near $14, AXS shot past the 38.2% ($19.89), 50% ($21.67) and 61.8% ($23.45) Fibonacci extension levels. The NFT gaming crypto-asset now looks primed to tap the 78.6% Fibonacci extension level, which coincides with a $25.98 spot rate.
$29.2 (100% Fibonacci extension level) remains the crucial resistance bulls need to flip to support a sustained move up higher. Beyond the said price, bulls in a show of strength could aim for a new all-time high at $38.51 (161.8% Fibonacci extension level).
But that scenario will have a possibility of playing out only upon buyers surmounting the $29.2 spot rate.
Why Is Axie Infinity In Demand?
Axie Infinity’s “battle, collect, earn” gameplay feature is one of the first available instances of the play-to-earn model. The AXS (Axie Infinity Shard) token is a reward awarded to players. It can serve governance purposes as well. Recently AXS experienced record-buying volumes by players looking to generate income from breeding, battling, and trading digitized pets.
There are more ways than one to make money playing Axie Infinity. One of them is through selling Axies, the virtual pets. But there is also the Small Love Potion. These potions are used to strengthen Axies and be sold across various exchanges and the built-in marketplace. Axie Infinity currently has over 250,000 daily active players.