- Axie Infinity price broke out of a bottom reversal pattern known as inverse head and shoulders on September 30.
- The initial ascent pushed AXS up by 10%, but it faced an interim sell-off, delaying the 28% uptrend.
- The bulls could still band together and propel the altcoin up for 20% gains.
Axie Infinity price action from September 9 to September 29 resulted in the formation of a bullish reversal pattern. While AXS broke out and rallied, the ascent faced an untimely stop as investors booked profit. However, the altcoins seem ready for a renewed uptrend.
Axie Infinity price hangs in the balance
Axie Infinity price action from September 9 to September 29 formed an inverse head-and-shoulders pattern. This technical formation contains three distinctive swing lows, with the central one known as the head deeper than the rest. The other two of comparable depths are known as shoulders.
A trend line drawn connecting the swing highs of these valleys reveals a resistance level referred to as the neckline. A decisive breakout above the neckline forecasts a 28% ascent, obtained by measuring the distance between the neckline and the head’s lowest point.
Adding this measure to the breakout point reveals a target of $90.
When Axie Infinity price successfully broke out on September 30, it rallied roughly 10% but faced immense resistance at the 70.5% Fibonacci retracement level at $78.94. Now, AXS is making another attempt at journeying toward its destination at $90.
A convincing close above the 79% Fibonacci retracement level at $82.38 will confirm that the bulls have their backs into this ascent.
In such a case, Axie Infinity price is highly likely to continue its uptrend and retest the $90 resistance level.
Things are seemingly stacked against Axie Infinity price around the high probability reversal zone ranging from $75.51 to $82.38. The inability of buyers to push through $82.38 will confirm a weakness and could lead to a takeover from the bears.
In such a situation, investors can expect AXS to retrace to the neckline at $70.66. However, a breakdown of this barrier will invalidate the bullish thesis and send Axie Infinity price toward the September 29 swing low at $70.11.