Can $18 Breakout End The Ongoing Consolidation?

The Axie infinity (AXS) price has resonated between the $18 and $12 mark over the past six weeks, indicating a short consolidation phase. The altcoin has tested both the extreme barriers and accentuated them as important chart levels. However, can the current bull cycle reclaim this overhead resistance?

Key points:

• The AXS price breakout from $18 resistance opens the path for a 35% rally
• Reversal from the $18 may be extended the consolidation phase for a few more sessions
• The intraday trading volume in Axie infinity (AXS) coin is $333.2 Million, indicating a 134.18% gain.

Source-Tradingview

The AXS/USDT technical chart illustrates the end of a correction phase that accounts for a 50% drop in May and June with a bullish reversal from $12. The bull run beats the supply pressure on the resistance trendline and is now trading above the 50-day SMA. Furthermore, the bullish streak challenges the $18 resistance level after forming a morning star pattern at $15.

The AXS prices attempting to break above $18 suggests a high likelihood of the reversal trend continuation. Also, traders can anticipate the current uptrend to last since we are seeing a rise in trading volume, which will support the current bullish trend.

The daily candles within $15 and $18 display wick formation representing a supply inflow at the overhead resistance. Thus, the breakout of this resistance will act as a bullish launchpad.

If the candle closes higher than $18, the AXS prices will explode to the next horizontal resistance level at $24.

However, if bulls fail to maintain dominance at the support level at $15, a downtrend under the 50-day SMA will test the ultimate support at $12.

Technical indicator

DMI Indicator: the DI lines gaining a bullish spread after the recent crossover event representing the solid underlying bullishness. Furthermore, the ADX slope shows an inclination representing an increase in the trend momentum.

RSI indicator: following a bullish divergence, the RSI slope rallies higher in bullish territory, indicating the positive sentiment in returning to the Axie infinity (AXS) coin.

• Resistance levels- $18 and $24.1
• Support levels- $15.35 and $12.35