Axie Infinity (AXS) Price Rejection at $6.50: Will Whales Continue Buying?

This week, Axie Infinity (AXS) price has consolidated within the $5.5 – $5.8 range after an unsuccessful attempt to break the $6.5 resistance. Will the whales maintain their bullish stance to trigger an early rebound?

Over the past few weeks, Axie Infinity (AXS) rode the renewed metaverse interest triggered by Apple’s Vision Pro Augmented Reality (AR) headset launch. However, the bullish momentum now seems to be cooling off. Do the whales have enough in the tank to trigger another rally?

Despite the Price Drop, the Whales are Still Buying

According to Santiment, despite the recent price correction, the Axie Infinity whales still have their heads in the game. The chart below shows that AXS Whale transactions have increased considerably this week.

Between June 20 and June 29, the whales increased their trading activity from 1 transaction to 23 transactions.

Axie Infinity Price Rejects, June 2023. | Whale Transactions – Source: Santiment

Whale Transactions assesses the trading activity of institutional investors by summing up the daily number of transactions exceeding $100,000.

When whales increase their bets on a token, it reveals their confidence in the underlying token’s price prospects. And considering that most institutional holders typically hold for longer periods, AXS could be in for an early rebound.

Long-term Investors are Holding Firm

Another key indicator of a potential early rebound is the perceived confidence among AXS long-term holders. Between June 24 and June 29, AXS’s price declined by 10%. Meanwhile, Mean Coin Age has increased by 6% during that period.

Axie Infinity Price Rejects, June 2023. | Mean Coin Age – Source: Santiment

Mean Coin Age gauges the level of confidence among long-term investors by calculating the average number of days that coins in circulation have spent in their current wallet addresses.

When it rises during a price correction, as seen above, it indicates that the long-term investors are holding firm. If they can sustain the bullish stance, AXS will likely rebound above $6 in the coming days.

AXS Price Prediction: Another Attempt at $6.50

The key indicators identified above suggest that Axie Infinity bulls could soon make another attempt at reclaiming the $6.50 target. But first, they must smash the massive sell-wall for around $5.90. Here, the 452 investors that bought 1.08 million AXS tokens at an average price of $5.90 could stop the rally.

But if bullish whales have enough in their tank, AXS could head toward $6.5 again.

AXS Price Prediction, June 2023. | IOMAP data – Source: IntoTheBlock

Yet, the bears could remain in control if AXS falls below $5. Although, the 196 investors that bought 607,000 AXS tokens at the minimum price of $5.35 could offer support.

But if that support level caves, then AXS holds can anticipate a further decline toward $4.70.