AXS breaks out of its ascending triangle | Credit: Hameem Sarwar
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Key Takeaways
AXS price surged over 38% as trading volume and momentum spiked sharply.
Bullish breakouts and rising open interest confirm the trend’s continuation.
If momentum holds, AXS price could advance toward the $1.60 to $2.11 range.
AXS, native to blockchain-based gaming project Axie Infinity, has seen its price rally by 38% in the last 24 hours.
As a result, the Axie Infinity price has retested $1 for the first time since November last year.
But that’s not all. At the time of writing, the trading volume has surged by 1,659% as it blasted above $250 million.
With volatility expanding and trend indicators shifting bullish, AXS is now transitioning from an accumulation phase into a momentum-driven phase.
So, what could be next for AXS price?
Indicators Confirm Uptrend
Technically, momentum has turned bullish as it broke out of the upper trendline of an ascending triangle on the 4-hour chart.
The Awesome Oscillator (AO) confirms the strength of the move.
As shown below, the AO has moved into positive territory at 0.136, producing large green histogram bars. This reflects accelerating upside momentum, indicating that bullish pressure now dominates the short-term trend.
The Moving Average Convergence Divergence (MACD) further reinforces this bullish structure. The 12-period EMA (blue) has crossed decisively above the 26-period EMA (orange), while the histogram continues to expand higher.
This setup typically signals trend continuation rather than a short-lived spike, especially when paired with a volatility breakout.
Axie Infinity’s price action also validates the structural shift. The altcoin has broken above its multi-week consolidation range, turning former resistance into support.
The impulsive breakout candle through this region reflects strong institutional participation.
Structurally, the Axie Infinity token now trades within a fresh bullish extension. As long as the price remains above the $1.05 to $1.10 demand zone, the breakout remains technically valid, and dip buyers are likely to stay active.
But outside the technical setup, other factors are driving Axie Infinity’s price up, as shown below.
Why Else Is AXS Exploding Today?
A combination of drastic tokenomic shifts and high-stakes roadmap pivots is driving the sudden surge:
The SLP Emissions Halt: On Jan. 7, the team officially disabled Smooth Love Potion (SLP) rewards in the Origins game mode.This move was designed to kill off automated bot farming and curb inflation. By cutting the “supply pressure” from farmers, the ecosystem’s supply-side dynamics have tightened significantly.
Big Swings” Roadmap: Axie Infinity’s co-founder, Jeffrey “JiHo” Zirlin, recently pledged that 2026 would be a year of “much larger risks” after a conservative 2025.
This includes the highly anticipated Atia’s Legacy Open Beta, which seeks to blend Eve Online-style economics with complex PvP combat.
The Treasury Staking Vote (AIP-003): Momentum is building after a proposal to stake 2,829 ETH ($9 million) from the community treasury to generate yield passed.
This has signaled to investors that the holder is aggressively optimizing its $40 million war chest.
Volume, Derivatives Activity Drive Momentum
From an on-chain perspective, AXS volume has surged to its highest level in months and is now approaching $300 million.
That matters even more because the AXS price has just broken out, and volume determines whether a breakout turns into a trend or fades into a fakeout.
If the price continues to rise but volume starts to wane, the breakout can lose momentum quickly. However, that might not be the case, as the current trend could send the Axie Infinity price higher.
Furthermore, the recent rally receives additional support from a massive surge in open interest (OI), up 182%, signaling that traders are increasingly positioning for continuation rather than a short-term spike.
This sharp rise in OI demonstrates heightened market participation, with both long entries and short-covering fueling the bullish momentum.
As long as OI stays elevated alongside the Axie Infinity price, the risk of a sudden reversal diminishes, and the path toward higher targets becomes more structurally supported.
On the daily timeframe, the AXS price has broken out of its continuous downward trend, printing bullish candles above the descending trendline that had capped price action for several weeks.
Following this trend, the Bull Bear Power (BBP) indicator has shifted into the positive region, with consecutive expanding green histogram bars, signaling an increasing bullish dominance and suggesting that buyer strength continues to build.
Meanwhile, the Relative Strength Index (RSI) has surged past the overbought threshold, reflecting strong bullish momentum and aggressive buying pressure.
While this confirms the strength behind the recent move, it also suggests that short-term exhaustion or a mild pullback could occur if buyers fail to maintain momentum.
The Fibonacci retracement levels provide a clearer view of AXS price action. The breakout has pushed the price toward the 0.236 Fib level, currently pegged at $1.27.
A daily close above this level could strengthen bullish conviction and pave the way for higher retracement zones, with the price potentially reaching $1.60 in the near term.
If that happens, the following levels for the Axie Infinity price to reach could be $2.11, corresponding to the 0.618 golden ratio.
However, if the current trend reverses, AXS could test its immediate support zone at $0.87 or decline further toward the zero Fib level at $0.77
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
