A bearish parallel channel pattern is leading the correction in the Axie Infinity (AXS) price. Although this bearish pattern is currently extending the downside rally, a bullish break off its resistance trendline could start a fresh rally in the AXS coin. The coin price is currently trading at $77.4 so far down 53% from its all-time high of $164.
Main technical points:
- AXS price may retest 200 MA as resistance
- The 4-hour MACD shows a bearish crossover between the MACD and the signal line
- The intraday trading volume of the AXS token is $469.3 million, representing a 4% drop.
The source- Tradingview
AXS price has started a correction after turning down from the $160 resistance. The technical chart shows a steady downtrend with lower highs and lower lows, resonating inside a parallel channel pattern. reduction.
As long as this pattern is intact, the coin price will continue its downtrend and drop to even lower lows. Conversely, descending channel patterns are known to initiate a strong rally when the price breaks out of its dynamic resistance.
However, the AXS price recently dropped below the 200 MA and the price action suggesting a bullish reversal could retest this MA in search of sufficient supply.
AXS Price Analysis: 4 Hour Chart
The source-Tradingview
From a fresher low of $65.3, AXS The price has increased by 20% in just one week. The price is currently approaching the overhead resistance of the descending channel. Cryptocurrency traders should closely watch the price action at this resistance as a rejection or break out of this pattern could extend or end the correction period respectively.
The Moving Average Convergence Divergence indicator shows the MACD and gives a signal of a move above the neutral line, indicating bullish sentiment. However, the bearish crossover between these lines and the fading green bars in the histogram shows that buyers are slowly losing momentum.
The technical chart shows the key resistance levels for AXS price at $79.5, followed by $91.2. Meanwhile, the support levels are at $65.5 and $49.