More On: axs
AXS, Axie Infinity's native token, has had a terrible week on the market. Even still, the market is ruled by fear, and Bitcoin's fall didn't help the token.
Bullish breakout attempts in early February were decisively denied at a band of resistance.
AXS- 1 hour chart
After the price stalled in the $44-$48 range in late January, the $55.56 level (white) was recorded as a new low. An earlier short-term upswing failed to hold, and the $70-level proved too much for bulls. While the price stayed over $63.25 for a few days, it eventually went below it.
A few days ago, the price retested the $55.5 level from the lower end. After a negative retest, this level was confirmed as a short-term resistance level, and the price was once again trading in the $44-$48 range.
Demand in this region is critical, although the likelihood is low. After a long day of fighting, the bulls may be worn out. If the market's selling pressure doesn't subside, AXS is expected to fall to $38 in the next days.
For about two weeks now, the MACD has been trading below zero. Bulls sought to change the trend in their favor in mid-February but were unsuccessful after the early February breakout failed. The MACD was below 0 when this article was written.
The Directional Movement Index indicated that the recent decline had become more pronounced. Even more so as the ADX (yellow) and -DI (red) rose in the same direction, respectively.
On the lower periods, there is no buying opportunity. While the $44-$48 level may witness a rebound, the market's anxiety and uncertainty over Bitcoin might lead to more losses for AXS. Axie's price was on the decline at the time of publication. This hinted that a shorting opportunity at $50 might occur.
Disclaimer: The following analyses' findings are the writer's own thoughts and should not be construed as investment advice.
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