- Axie Infinity price emerges from the consolidation with a conclusive 47.62% gain on August 10.
- The topside trend line from November 2000 at $148.00 is now a potential price target.
- AXS intra-day and daily Relative Strength Indexes (RSI) do not present a bearish momentum divergence.
Axie Infinity price concluded a two-week consolidation above the 38.2% Fibonacci retracement with an impressive 47.62% gain, overcoming the resistance established by the measured move price target of the prior cup base at $51.34. AXS is now has a shot of reaching the topside trend line at $148.00, but $100 is more likely.
Axie Infinity continues the trend of big, positive sessions
Axie Infinity price consolidation was defined by many doji candlestick patterns, expressing the investor uncertainty for higher AXS prices and a reluctance to capture the sizeable profits generated since the June 21 low. The patient holders were rewarded yesterday with a 47.62% gain and a decisive breakout from the sideways price action that had defined Axie Infinity price since late July.
With Axie Infinity price realizing the cup pattern’s measured move of 337%, the attention turns to new points of resistance, such as the 161.8% Fibonacci extension of the recent consolidation at $68.70, the 261.8% extension at $88.54, the 361.8% extension at $108.38 and then the topside trend line at $148.00.
Today’s early rally eclipsed the 161.8% extension and carried Axie Infinity price within ten points of the 261.8% extension at $88.54. The lack of a bearish momentum divergence at today’s high suggested that the earlier gains of today will be revisited soon, preparing AXS to reach at least the psychologically important $100.00 or the 361.8% extension at $108.38, benefitting AXS speculators with a 64% return from the current price.
Axie Infinity price has established a precedent of substantial gains in a short period, so there is the potential for AXS to test the topside trend line at $148.00 and record a 124% profit from the price at the time of writing.
AXS/USD daily chart
A daily close below the July 27 high of $56.44 would be a warning signal that Axie Infinity price may have reached a significant top, and AXS investors should consider capturing profits.
AXS support begins with the 38.2% Fibonacci retracement of the rally from the cup base formed during April-July at $49.80, followed by the 50% retracement at $40.82 and the Axie Infinity price lows of the recent consolidation around $37.00.
Axie Infinity price has recorded a dominant performance since the June low and is still displaying the same impulsiveness. The momentum holds the potential to carry AXS to at least the psychologically important $100.00 before coming to a halt. In the book New Market Wizards, Monroe Trout called the power of big round numbers like $100.00 the ‘magnet effect.’
I believe markets almost always get to the round number. Therefore, the best place to get in is before that number is reached and play what I call the magnet effect.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
US presidential election outcome could shape the future of crypto
US citizens will go to the polls to elect a new president on November 5, and their choice could be key for the future of the crypto industry and thus the price outlook for Bitcoin (BTC).
Bitcoin ETFs beat Gold ETFs with 65% gain since launch
Bitcoin ETFs have reshaped the digital asset investment landscape since their approval in January. Their total assets under management climbed over $70 billion during the weekend, placing them ahead of other investment products, including gold.
XRP eyes 10% rally amid relisting across crypto exchanges and growing institutional demand
Ripple's XRP is trading at $0.5050 up slightly by 0.2% in the past 24 hours as it struggles to sustain a move above a key symmetry triangle resistance. Meanwhile, in its recently released Q3 report, Ripple noted the rising listing and relisting of XRP across crypto exchanges and global platforms.
Ethereum Price Forecast: ETH struggles below $2,500 amid State of Michigan pension fund investment in ETH ETF
Ethereum is trading near $2,420, down about 1% on Monday, but could bounce off a key descending trendline close to the $2,258 historically high demand zone. Meanwhile, the State of Michigan pension fund revealed an investment of $11 million in ETH exchange-traded funds.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.