AXS rises despite Axie Infinity’s declining player count, details inside
- Axie Infinity (AXS) increased by over 10% as it looked to break into a new price range.
- Axie Infinity’s active players have reduced by 8% in the last 30 days.
Axie Infinity [AXS] has seen remarkable price movement over the last few days, according to a post by Alicharts. But do these other metrics imply that the spectacular advance will continue, or will the price euphoria be short-lived?
#AxieInfinity could be the next one! 🚀📈 $AXS looks prime to break out to $13 as long as the $10.7 support level holds. #AXS pic.twitter.com/wnWWYD3Mtv
— Ali (@ali_charts) February 21, 2023
Realistic or not, here’s AXS market cap in BTC’s terms
Price rise for AXS
AXS, when seen on a daily timescale, was in an uptrend for four days in a row until descending on 21 February. Throughout these four days, it increased by over 10% before declining by over 3% as of this writing. Throughout the monitored trading time, it was trading around $10.82.
Also, the long and short Moving Averages (blue and yellow lines) were below the current price movement. Because of their relative positions, the blue and yellow lines effectively served as the support area for the asset around $10.5 and $9.8, respectively.
According to the Relative Strength Index (RSI), the asset was still in a bull trend, but the trend was eroding due to the value decline. Although the RSI line was still above the neutral line, it indicated a possible downward trend.
Volume and transaction volume go separate ways
The Santiment volume indicator revealed that the volume of transactions of Axie Infinity has increased and has been maintained since January. As of this writing, the volume was above 143 million, and the overall volume for the year has been greater than in the preceding months.
The transaction volume indicator, however, responded differently, even though the volume indicator showed an uptick throughout the year. Except for a spike on 15 February, the indicator indicated that the transaction volume had been relatively low. The number of transactions was over 50,000 as of the time of writing.
Active players decline
However, despite these rising metrics, Axie Infinity had been losing players throughout the months, as evidenced by the number of gamers actively playing the game, per activeplayers.io. The statistic revealed that since February 2022, there had been thousands of losses. In addition, it lost over 20% of its active players in November 2022, and during the past 30 days, it has lost 8% of those players.
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Despite the AXS token’s excellent movement, its price may be impacted by the low transaction volume and the steady drop in the number of active participants. If interaction with the ecosystem is deteriorating, it is difficult to understand how the utility can grow or remain constant.
It will be interesting to observe if the price of AXS can change independently of the usage reduction.