The GameFi industry has been affected during the 2022 crypto season which wiped out billions from the crypto market. Axie Infinity is one such project that has been launched on the ground. By July 2022 report by CheersLand, Axie Infinity’s original token, AXS, has lost 91% of its value in the third quarter of last year.
But with reinvigorated crypto sentiment in the market, AXS has seen growth since the beginning of the year. according to CoinGeckothe token is up 43% in the past 24 hours with the largest gain made in a two-week time frame.
Despite the negative developments in the chain, this price increase may be a sign of the revival of Axie Infinity.
Player Count Continues to Spiral Down
A game requires active players to sustain itself for a long time and Axie Infinite has struggled to retain its player base. according to activeplayer.ioThe game has seen a steady decline in its fan base.
Since reaching its peak in January 2022, fear, uncertainty, and doubt in the crypto market have affected the number of players. The biggest drop in player base, however, was back in June 2022 when the game lost 1.2 million players in one month.
Image: Mediaverse
Right now, the game is nearing its all-time low in November 2020 which looks pretty good for one the biggest play-to-earn game in the market.
AXS Price Climb – Can It Sustain This Momentum?
Player wise, Axie’s situation is not looking good. However, Axie Infinity NFTs are still few of them most trade NFT in the open market, beyond big names like Bosen Ape Yacht Club and CryptoPunks.
Axie Infinite is still the largest collection of trading NFTs. People underestimate how big a game collection is. pic.twitter.com/0O1z8BYzR8
— Loopify 🧙♂️ (@Loopifyyy) January 14, 2023
This had a big impact on AXS because the token broke through the $12.23 resistance, reaching the level of September 2022. At the time of writing, January 23, the AXS bull is targeting the $13.20 resistance.
For this to happen, the token must close today above $13.20 and consolidate at this level. However, if the token faces rejection at this level, investors and traders can count on $12.23 for support in the next few weeks.
Crypto total market cap at $994 billion on the daily chart | Chart: TradingView.com
But with the broader crypto market continuing to rally, AXS could ride a bullish wave to potentially target $15 resistance in the next few months. These improved metrics may attract returning players or new players to the game, and increase bullishness.
For now, investors and traders can confidently hold AXS in the short and medium term as gains are still to be made.
Featured image by Manila Bulletin