In 2021, the Play-2-Earn project Axie Infinity (AXS) gained significant attention before facing a notable decline, sparking concerns among investors. With uncertainties looming over the market, there are fears of further drops in AXS prices. The real worry lies in the potential aftermath of panic selling by investors looking to cut their losses swiftly.
AXS burst into the market with a bang, hitting historical highs and turning numerous investors into millionaires. However, as swiftly as it rose, it tumbled, leaving many in the red. Access COINTURK FINANCE for the latest updates on financial and business news.
During this turbulent period, only a small fraction of AXS holders managed to remain profitable, mainly due to the challenging market conditions. The prevailing negative sentiment is expected to drive more sales by investors desperate to salvage what they can, exerting further downward pressure on the price.
A potential sell-off could exacerbate the price decline for AXS, compounded by the Chaikin Money Flow (CMF) hitting its lowest point this year. The CMF serves as an indicator of money flow in and out of a specific cryptocurrency market, with a negative value like the current -0.15 signaling continued outflows and further strain on AXS.
Projections for AXS prices suggest a looming downward trajectory, with indicators pointing towards a possible drop to $0.22. At the time of writing, AXS was trading at $6.01, with expectations of further dips. If the head and shoulders pattern on the graph materializes, a substantial 96% correction for AXS is on the horizon, spelling potential losses for investors.
It’s worth noting that the initial level to watch for a downward trend in the Altcoin is $4.0, a previous stronghold of support. Stay updated with our news on Telegram, Facebook, Twitter, and Coinmarketcap.
Disclaimer: The information provided in this article is not investment advice. Investors should be mindful of the high volatility and risks associated with cryptocurrencies, conducting thorough research before making any decisions.
