Axie Infinity Price Prediction: An explosive move to come one way or another
|- Axie Infinity rose by 132% in January, reaching a new YTD high of $13.94.
- Technical indicators show mixed signals, with the potential for a 28% decline towards $7.30 or a possible 70% increase towards $17.
- A breach above the $13.94 zone would reduce the bearish potential.
Axie Infinity price is one to watch as it shows short-term bearish potential within a larger bullish narrative. Key levels have been defined to gauge the next potential swing.
Axie infinity price nears a big move
Axie Infinity price has experienced a surge of volatility, with a 132% increase since January 1. After establishing a new YTD high at $13.94, the market has been consolidating near the $13.00 zone for the past three weeks. At the time of writing, The AXIE price is down 5% this week.
Axie Infinity price currently auctions at $12.78, as technical indicators show mixed signals for the future ahead. For instance, the Relative Strength Index breached overbought conditions during the 132% rally, which is a bullish cue. However, the Volume Indicator shows the largest amount of transactions occurring on a red day this year, which happened on January 23. Additionally, the February 9 candlestick was the largest red day of 2022, causing a 15% decline. During this downswing, the bears breached both the 8-day exponential moving average and the 21-day simple moving average.
Considering these factors, the midpoint of the winter rally has a fair chance of being breached, leading to a potential 28% decline toward the $7.30 zone. The uptrend, which originated near the $6.00 zone, should remain intact unless the RSI falls below 40 on the daily time frame.
AXS/USDT 1-Day Chart
On the other hand, invalidation of the bearish thesis could occur if the bulls can hurdle the newly established YTD high of $13.94. In doing so, the bulls could continue the winter rally and challenge liquidity levels in the $17 region. Axie Infinity price would increase by 70% from its current market value if the bulls were to succeed.
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