Axie Infinity price could make a turnaround at this level before a 30% recovery rally

Axie Infinity price (AXS) has been trading with a bearish bias since January 23, after investors engaged in a load-shedding exercise. The gaming token suffered a highly volatile market that canceled every bullish push with twice as much bearish pull. As a result, AXS plummeted to levels last seen around November when crypto exchange FTX imploded.

The positive indications for Axie Infinity price come amid a promising alt season combined with chatter about the Game Developers Conference (GDC), a premier professional event, championing game developers and the advancement of their craft.

Axie Infinity Price readies for a recovery rally

Axie Infinity price bounced from the $6.99 support floor on March 10, kickstarting a northbound move that saw the gaming token restore above the crucial $7.82 support level. Notice that this supplier congestion level has played a crucial role several times before for AXS. The asset bounced off from this level in November and January, marking the beginning of a notable uptrend.

Accordingly, investors should expect Axie Infinity price to use the abovementioned level as the jumping-off point for the next rally, possibly within the weekend or early next week.

A northbound move for Axie Infinity price would mean a flip of the 100-, 200-, and 50-day Simple Moving Averages (SMAs) at $8.95, $9.44, and $9.57, respectively, into support. A decisive flip of the first should confirm the momentum of the recovery rally.

Past the SMAs, Axie Infinity price could tag the $10.10 resistance level, denoting a 29.58% increase from current levels. AXS could extend further in highly bullish cases to tag the $12.18 resistance level last tested in January.

Possible deals could fuel the recovery rally for Axie Infinity price after gamers and investors met in San Francisco for the GDC, causing some broad capital inflow to filter now that they have dispersed.

AXS/USDT 1-day chart

Nevertheless, given the extremely cyclical nature characteristic of Axie Infinity price, the token could plunge further in market value, first shattering the $7.82 support level. A daily candlestick close below this level could invalidate the bullish thesis.

Evidence of this cyclical nature of Axie Infinity price is the Relative Strength Index (RSI), where the gaming token clearly each time goes through a downtrend cycle with a bounce toward an uptrend cycle. The altcoin could plunge further, given its current position, before a possible trend reversal.