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Crypto Blades and Axie Infinity go to war for NFT market share while AXS price suffers steep correction

  • Cheaper alternatives to Axie Infinity emerge in the non-fungible token gaming ecosystem.
  • Active users on Crypto Blades grew by over 1400% over the past month, X World Gains and MOBOX registered over 100% increase.
  • As competition intensifies, Axie Infinity's native token AXS entered consolidation phase, dropping nearly 4% over the last 24 hours.

"Play to earn" games are fighting for dominance of the non-fungible token ecosystem with a market capitalization of nearly $18 billion. One of these NFT crafting games that runs on the Binance Chain, Crypto Blades, has emerged as a formidable competitor to popular game Axie Infinity. 

Crypto Blades player count increased by 1400%, capturing larger NFT market share

Crypto Blades is a role-playing game on the Binance smart chain where traders can earn SKILL token. Though the game has noted a considerable increase in the number of users in the past thirty days, Crypto Blades' token is nearly 94.8% away from its all-time high of $858.99. 

Players outside of the NFT gaming ecosystem are familiar with role-playing games, and this has increased the relevance and demand of Crypto Blades in the gaming community. 

The role-playing game's most significant competitor is Axie Infinity, with more than 250,000 daily active users. This video game is riding the popularity of the Pokémon gaming genre and appeals to traders more interested in breeding "Axies" and competing. 

Players' involvement in Axie Infinity is higher when relative to Crypto Blades since the former offers two in-game tokens, Smooth Love Potion (SLP) and Axie Infinity Shard (AXS). Further, AXS has rallied nearly 66.5% in the past month.

Nevertheless, traders are more bullish on Crypto Blades as the initial investment is lower than Axie Infinity. SKILL has posted consistent gains for the past two weeks while AXS is consolidating. 

AXS price is likely to be influenced by the negative sentiment among traders since regulators in the Philippines shared their intent to tax the game's publishers and players. The Philippines is Axie Infinity's primary and largest market (60% of players are based here), and players earn nearly $50 daily. Taxation would reduce the earnings of full-time gamers significantly. Analysts have a neutral outlook on AXS price. 

Cryptocurrency analyst behind the Twitter handle @AltcoinSherpa is unsure of where AXS is headed next. The analyst argues that there are arguments for both an uptrend and a pullback.

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

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