Axie Infinity (AXS) has experienced a remarkable surge of +20% in its value, making it one of the strongest performing GameFi projects in the cryptocurrency space. This surge comes at a time of disarray in the GameFi markets, triggered by a legal battle between the co-founders of Gala Games. The significant increase in active wallet addresses on Axie Infinity, which has seen a +77% surge in the past 24 hours, is contributing to the pumping of AXS. Additionally, the project’s ecosystem now holds an incredible 80% market share in the Asian NFT market. With Gala Games fading away, Axie Infinity is establishing itself as the leading GameFi project in the industry.
The dominance of Axie Infinity in the Asian NFT market is noteworthy, as it holds a staggering 80% market share. The only project that comes close to rivaling Axie Infinity is Decentraland, with a 20% market share. This Asian market dominance signifies a significant source of growth in active wallet addresses, especially as crypto adoption in Asia continues to expand. As a result, Axie Infinity’s position in the market is expected to strengthen further, providing more opportunities for growth and development.
Axie Infinity’s recent surge has lifted its market price to $4.76, exhibiting a 24-hour change of -0.42%. The significant 20% pump from the previous day allowed AXS to reclaim technical support above the descendant 20-day moving average (20DMA), which had acted as a resistance level for over 50 days. Presently, the price action is consolidating above the 20DMA, aiming to stabilize below a local resistance level of $5.70. Breaking this level could propel AXS to test the 200-day moving average (200DMA) at around $6.73.
The Relative Strength Index (RSI) shows a surge in momentum, reaching 51.17 and entering the overbought territory. This sudden rise in RSI might prompt a consolidation phase, but the collision with the descendant upper trendline could trigger a breakout moment. The Moving Average Convergence Divergence (MACD) remains bullish, with a stronger divergence to 0.06 after the impressive upside swing. These positive technical indicators, alongside the capital rotation from Gala Games to other GameFi projects, suggest that the short-term outlook for AXS is favorable.
Considering the strengthening fundamentals and positive technical indicators, Axie Infinity has a potential upside target of $5.70 (+20%). Achieving this level would position Axie Infinity to challenge the resistance at the 200DMA. However, there is also a downside risk of a retracement back to the lower trendline support at $4.10 (-13.6%) if the 20DMA acts as resistance. Based on the risk: reward ratio of 1.46, which indicates a favorable entry point, it seems that it may not be too late to buy AXS.
While Axie Infinity’s growth continues to captivate investors, it’s crucial to explore other promising projects in the crypto industry. Launchpad XYZ (LPX) offers an innovative ecosystem designed to make Web 3.0 more accessible through user-friendly tools, insights, and analytics. As LPX prepares to launch, holders who stake a minimum of 10,000 tokens will enjoy various benefits, including significant fee discounts, early access to NFT whitelists and presales, access to play-to-earn games, and exclusive community badges. The anticipated listing of LPX on major cryptocurrency exchanges is expected to drive demand for the token. With a maximum token supply of 1 billion, LPX is set to launch later this year with a fully diluted market capitalization of $70 million, making it a project worth watching as the crypto industry evolves rapidly.
Axie Infinity has emerged as the leading GameFi project, showcasing impressive growth and dominance in the Asian NFT market. The recent surge in AXS value and the influx of active wallet addresses highlight the project’s potential for further expansion. Technical analysis indicates positive indicators and the possibility of a continued upside move for AXS, with a potential target of $5.70. Additionally, Launchpad XYZ presents an exciting opportunity for investors looking to explore promising projects in the crypto space. As the industry evolves, it is essential to stay informed and seize the potential opportunities that arise.
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