Even though the stock price of Axie Infinity AXS was going down just the previous month, now it is going up steadily again. The growth is so fast that Axie Infinity even breached its resistance point. How did this happen in just a month? Let’s find out by thoroughly examining the market trends.
The turn-around for Axie Infinity
Since November last year, everyone has been reporting how Axie Infinity was losing its stock price. Even though at that time the stock sometimes went up but overall, Axie Infinity used to finish the day on a very low point only. But when the new year came, it brought luck for Axie Infinity. Steadily the prices went over $40 and since then the price has been steadily rising. The rise has been such that since yesterday Axie Infinity has reached the price of $52.466. Percentage-wise the price increased by 1.09% in just 24 hours. This excellent upward trend is due to the good Fibonacci support. You must be wondering what this thing is. Let’s see.
Fibonacci support
Fibonacci support is a term of economics and finance. This is a method by which resistance levels and support inputs for any company or altcoin are determined. The percentage provided by Fibonacci support more or less indicates how well a company or altcoin is going to perform. A good percentage can lure investors to some extent. This particular support for Axie Infinity was at 78.6% during November of 2021. In a way, this percentage helped Axie Infinity to climb back to the point where it is now. Even now, the percentage is at 78.6%. This thing has proved that positive and high Fibonacci support can help a fallen stock to climb back in a very small period of time. Now as Axie Infinity is climbing back, it could be a good time to invest in it. Is that true though?
Good time for Axie Infinity AXS?
Seeing the price of Axie Infinity right now, it may seem a good time to put your money in it. While this is true we advise you to only invest in Axie Infinity if the price of bitcoin is low right now. We say this because bitcoin and Axie Infinity are both competing cryptocurrencies. If the price of one is high then the other’s price will be below. One more factor to deal with is that, unlike bitcoin, the price of Axie Infinity has a tendency to fluctuate. It has been seen earlier that the prices of Axie Infinity have gone down very rapidly, after a steady period of rising.
At last, all we can say is that the stock market is a very unpredictable place. Sure, experts can analyze trends and predict the upward or downward trend of a particular stock but they cannot say anything for sure. There is always a big ‘but’ in the stock market. Thus, invest wisely and only if you are ready to bear the consequences.
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