warning: The information provided does not constitute financial, investment, trading or other types of advice and is solely the opinion of the author
- AXS is considered to be in a bullish market structure
- Investors can sell if they reach the supply area at around $9.0
Acce Infinity [AXS], one of the leading play-for-profit (P2E) games, has announced a new update. Because of that, its parent token, AXS, has since gained more than 10% in the past week, making it one of the biggest gainers.
Read Axie Infinity’s [AXS] Price forecast 2023-2024
At the time of writing, AXS was trading at $8.48 and was in a strong bullish momentum. He has his sights set on supply around the $9 level which will provide sellers with an opportunity to take profits.
Supply Zone of the Future: Will the cruise survive?
After rallying for a week, you would expect a price correction, but the AXS bulls looked energetic and ready to continue to take off. However, on the 4-hour charts, the AXS bulls had taken a bit of a breather (price correction) before continuing their rally.
At the time of publication, a massive rally after a major respite could take AXS into the $9 supply region. The Relative Strength Index (RSI) suggested that the rally could reach its target in the mentioned supply area.
The RSI rose higher and higher after settling somewhat at the 50 neutral mark. This indicates an increase in buying pressure that could push the bulls forward.
In addition, the AXS was also about to hit a bullish moving average (MA), which was a strong buy signal. Show that there are still buying opportunities to be exploited along the way. Therefore, buyers can still get absolute leverage.
Therefore, the bullish rally may continue and fade only in the $9 supply area. Therefore, traders can take profits by selling at this level. However, a candle that closes below the demand area around $8 would invalidate the above forecast.
Development activity has leveled off at AX, but the owners have seen profits
According to Santiment, AXS development activity has increased with the announcement of its latest infrastructure upgrade. However, at the time of publication, flattening of development activity was noted.
However, short-term owners of AXS saw gains as the 30-day realized market value (MVRV) was in positive territory. Stagnant development activity for a long time could undercut further price hikes. Therefore, investors should keep an eye on this.