Axie Infinity (AXS) wins over 45% but “Death Crossing” fear lingers

Axie Infinity’s native cryptocurrency, Axie Infinity Shards (AXS), September, when the focus of the market shifted to listing on two major cryptocurrency trading platforms, Bitfinex and Bitstamp.

The AXS / USD pair rose 15.52% to $ 69.86, offsetting any losses it suffered earlier in the week. The intraday rally came as part of a general bullish pullback that began on September 21 when AXS changed hands for $ 48.05.

Crypto assets are recovering

On September 20th, the markets were nervous due to economic problems is emerging on the Chinese real estate market around Evergrande, which is heavily indebted but the biggest homebuilder. Fearing a real estate bubble like 2008, investors withdrew their capital from the stock market and sought refuge in the US dollar.

Axie Infinity (AXS) wins over 45% but “Death Crossing” fear lingers
Axie Infinity (AXS) wins over 45% but “Death Crossing” fear lingers

The cryptocurrency market eventually mirrored the movements of the global stock markets. with the large digital assets Bitcoin (BTC) and Ether (ETH) ending near multi-week lows. As a result, other top tokens also fell overall, AXS rose from $ 63.99 on September 20th to just $ 48.05 on September 21st, a price decrease of 24.55%.

However, on September 22nd and 23rd, almost everyone The most important crypto assets were restored synchronously. So it looks like AXS has followed the trend. Still, its seemingly more solid foundations, especially the one Adding trading pairs on Bitfinex and Bitstamp, They fared better than most of their main rivals.

BTC / USD, for example, is up more than 3% in the past 24 hours, while AXS / USD is up more than 8.5% over the same period.

Technical configuration

The latest AXS buyout episode helped bypass potential death threats for the time being.

In other words, the 20-day exponential moving average (EMA) of AXS / USD is in danger of falling below its 50-day exponential moving average. Analysts generally perceive a short-term MA that closes below a long-term MA as a “sell” indicator called a “Crossroads of Death”.

For example, the chart below shows that the bearish crossover of the previous 20 and 50 EMAs was followed by a price decline of more than 50%.

AXS / USD daily price chart with Death Cross setup. Source: TradingView

The death cross setup is offset by the AXS / USD pair’s Daily Relative Strength Index (RSI), a price momentum indicator that recently bounced off its near-oversold levels and indicates the likelihood of the pair in the next Days will rise.

The upside analogy receives an additional boost from the psychological support level near $ 51.90. Traders recently used this reserve price as an entry point into A, as shown in the graphic below.

AXS / USD daily price chart showing the history of USD 51.90 as the support and resistance level. Source: TradingView

As a result, a slide below $ 51.90 could trigger the death cross setup and the next support target for the bears will appear at $ 36.47 based on the Fibonacci retracement setup. On the flip side, staying above the mentioned price floor could cause the bulls to test $ 76.59 and $ 88.98 as their next bullish targets.

The views and opinions expressed are those of the author only and do not necessarily reflect the views of Cointelegraph. Every investment and trade move involves risk, you will need to do your own research when making a decision.

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