Axie Infinity (AXS) is now starting to report some bullish consolidation. The coin had declined steadily since May 12, and there were worries it could retreat below $10. However, we are seeing signs of improvement, in fact, AXS could break out over the coming days. Here are some key facts:
AXS is consolidating above the crucial $20 and has done so in the last 24 hours.
This will likely trigger a bull run that takes the coin toward $27.
AXS must however maintain the $17.98 support for this thesis to hold
Data Source: TradingView
Axie Infinity – How it can swing 50% up
The bullish consolidation we are seeing with AXS comes after a period of decline. As a result, it could suggest that the coin is about to break out of its long-term downward trajectory. The key to watch though will be the $17.98 support. If the price action stays above this and manages to gloss over $20 at the end of trading today, then AXS will break.
In the end, the coin will likely settle at around $27 before its retreats. This will deliver gains of nearly 50% for AXS bulls. There is also another setup worth noting. A run towards $28 may not happen all at once. In fact, it is possible that AXS will try to test the $23.19 resistance first.
The coin may be rejected at this price, after which it may fall back below $20. This is just a temporary setback. We expect AXS to surge past $23.19 even if it fails on the first attempt.
How will AXS perform in the future?
AXS has suffered a lot this year. The coin is ten times cheaper from its $200 highs just a few months ago.
We expect this weakness to start abating during the second half of the year. Eventually, AXS could still hit $100 before 2022 is out.