Axie Infinity (AXS), the popular money-making gaming token, seems to be attracting a lot of attention from both crypto analysts and investors. Recent analyzes by renowned crypto experts Ali and Captain Faibik have twitter.com/ali_charts/status/1793553063359414554?ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>identified key patterns and technical signals indicating a possible bullish breakout for AXS.
Analysts observed an inverted head and shoulders pattern on the weekly chart of the AXS, a classic technical indicator that is often associated with the reversal of a bearish trend and the beginning of a bullish phase.
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Big Rally Predicted for Axie Infinity (AXS)
Ali predicts that if AXS can successfully break through the $13 resistance level, it could trigger a rally, pushing the price towards $22 or higher. Captain Faibik shares this optimism and points to a bullish trajectory on the 8-hour time frame.
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twitter.com/hashtag/AxieInfinity?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>#AxieInfinito appears to form an inverse head and shoulders pattern on the weekly chart, which anticipates twitter.com/search?q=%24AXS&src=ctag&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>$AXS It will rise towards the neckline at $13 before a possible breakout at $22. pic.twitter.com/99kVKwUrwc
—Ali (@ali_charts) twitter.com/ali_charts/status/1793553063359414554?ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>May 23, 2024
Faibik x.com/CryptoFaibik/status/1793546635143991599″ target=”_blank” rel=”nofollow”>noted a decisive break of a significant log downward trend and suggested that, after a retest phase, AXS could see an increase of up to 40 percent in the near term.
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twitter.com/search?q=%24AXS&src=ctag&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>$AXS Major Trendline Breakout & Retest has been confirmed on the 8-hour period chart.
A +40% bullish rally in the short term looks promising. twitter.com/hashtag/crypto?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>#crypto twitter.com/hashtag/AXS?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>#AXS twitter.com/hashtag/AXSUSDT?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>#AXSUSDT pic.twitter.com/VrxIndGIDc
– Captain Faibik (@CryptoFaibik) twitter.com/CryptoFaibik/status/1793546635143991599?ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>May 23, 2024
Despite the positive technical outlook, Axie Infinity has faced challenges, including a significant drop in user engagement. Following its crash in February 2022, the AXS token has fallen from its all-time high of $164 in November 2021, plummeting by 95%.
The asset is currently trading at around $7.72, up 0.9% in the last 24 hours and almost 8% over the past week.
This price movement coincides with a generally bullish trend in the global crypto market, driven by anticipation of the approval of Altcoin ETFs, particularly for ethereum.
Axie Infinity is currently ranked as the 87th largest cryptocurrency by market cap, maintaining a valuation of around $1.1 billion. AXS's 24-hour trading volume sits just above $41 million.
Despite its mid-cap status, Axie Infinity's network metrics have declined such as unique active wallets (UAW) and volume. DappRadar data shows a 5% decline in UAW and a 49% drop in volume over the last 24 hours, with the current UAW at 43,500 and volume slightly over $1 million.
Recent security breach and future prospects
The backdrop to this market dynamic includes a recent security incident involving Jeff “Jihoz” Zirlin, co-founder of Sky Mavis, the company behind Axie Infinity.
In February, two of Zirlin's crypto wallets were compromised, resulting in the theft of over $10 million in various crypto assets, primarily RON, the Ronin Chain's native token. This chain is an ethereum sidechain designed specifically for Axie Infinity.
Zirlin confirmed that the breach was limited to his accounts and did not affect the Ronin chain or Sky Mavis operations. She emphasized that the stolen private keys were not connected to the company's internal systems and assured the community of strict security measures for all activities related to the chain.
Despite the setback, Zirlin remains optimistic about the future and is committed to bringing economic freedom to users through Axie Infinity.
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