Axie Infinity (AXS) has experienced significant price volatility recently, with gains reaching up to 41% at one point, followed by a decline of over 17%. According to financial analysis firm NS3.AI, such fluctuations indicate potential short-term pullback risks. Interestingly, despite this volatility, whale investors have increased their holdings by approximately 160,000 AXS tokens, reflecting confidence in the asset’s long-term prospects. Axie Infinity is a popular blockchain-based metaverse and gaming platform where users can buy, sell, and train digital pets. Its native cryptocurrency, AXS, plays a crucial role in player activities and platform development. Although the platform has gained considerable recognition in the gaming and crypto markets in recent years, price volatility remains a challenge for investors. Current market trends and key support indicators suggest that while buying momentum prevails, a drop below the critical $2.54 support level could trigger further corrections. This situation highlights the tension between bullish sentiment and potential declines. Looking ahead, if AXS maintains its support level, investors may see long-term profit opportunities; however, a bearish market trend could lead to additional short-term price declines. Investors are advised to remain cautious and closely monitor market fluctuations.
Source: binance
