Buyers broke through a six-month-long resistance trendline with the current price increase in the Axie Infinity coin. As a result, if prices remain above the breached trendline, the market attitude has flipped from selling on rallies to buying on dips; would you enter now?
The daily chart of the Axie infinity reveals a double bottom pattern with a base support of £7.47. The AXS price has recovered from £7.47 on November 3rd as the broader market continues to strengthen.
The bullish reversal gained 24.5% in three days and broke through the £9.05 neckline and long-term resistance trendline. The Axie infinity price has been declining for the past six months due to the dynamic trendline.
As a result, a bullish breakout from this trendline indicates an impending trend reversal. The altcoin is currently trading at £9.36, and the wick rejection on the daily candle signals profit booking from short-term transactions.
If today’s candle closes above the £9.05 neckline, traders looking for an entry point can do so. As a result, a post-retest rally could push prices up 23.3% to the critical supply zone of £11.56. On the other hand, the bullish thesis will deteriorate if prices fail to hold above the £9.05 mark or the broken trendline.
The growing spread between the MACD and the signal line shows that underlying bullishness is increasing. Furthermore, coin holders will receive additional confirmation for long-term recovery if the indicator slope rises above the midline.
The coin price has broken through the indicator’s midpoint, indicating that a favorable outlook for the AXS coin is developing. However, the rapid rally to the upper range implies that consolidation over £9.05 is required to resume the current rally.