Market Overview: Axie Infinity/Tether (AXSUSDT)

Summary
• Price declined sharply to 1.076 on heavy volume, forming bearish engulfing patterns.
• RSI and MACD signal weakening momentum amid oversold conditions.
• Volatility expanded, with price near lower Bollinger Band.
• Key support at 1.076 and resistance at 1.094 identified.

Axie Infinity/Tether (AXSUSDT) opened at 1.120, hit a high of 1.137, and fell to a low of 1.072 before closing at 1.091 at 12:00 ET. The 24-hour volume was 1,148,717.61 and turnover reached $1,252,491.69.

Structure & Formations

Price action displayed bearish engulfing patterns as the asset fell from 1.137 to 1.076 over 24 hours. A key support level appears to have formed near 1.076, with resistance emerging around 1.094. The formation of a long lower shadow near 1.076 may indicate some short-term support, though further confirmation is needed.

Moving Averages

On the 5-minute chart, price has closed below key moving averages including the 20EMA and 50EMA, suggesting bearish bias. Daily moving averages indicate a mixed picture, with price hovering around the 50DMA.

MACD & RSI

The MACD has crossed below the signal line, confirming bearish momentum, while RSI has fallen into oversold territory near 28, indicating potential for a bounce. However, RSI divergence suggests that buyers may struggle to reassert control.

Bollinger Bands

Price has spent significant time near the lower Bollinger Band, with volatility expanding after a period of consolidation. The widening band suggests increased market uncertainty.

Volume & Turnover

Volume spiked during the decline to 1.076, reinforcing the bearish move. Turnover has remained relatively consistent, with no major divergences between price and volume. This supports the notion of a genuine breakdown rather than a false move.

Fibonacci Retracements
On a 5-minute chart, the 61.8% retracement level appears to hold significance near 1.094. A break below the 38.2% level at 1.083 could signal further downward momentum.

Price may test the 1.076 support level in the coming 24 hours, potentially leading to a short-term bounce or a deeper pullback. Investors should watch for a sustained close above 1.094 for a potential reversal, but bearish conditions appear to remain in control.