AXS/USDT has broken free from a long-term bearish channel, showing signs of a potential trend reversal. With a sharp rally and increased volume, the asset is testing critical support levels. Traders are now watching for sustained momentum.
AXS/USDT has shown an impressive change in price action, breaking free from a well-established descending channel that dominated much of 2024. For months, the price moved in a series of lower highs and lower lows, signaling continued bearish control.
Sellers had kept the asset in a downtrend, defending the upper trendline and preventing any major rallies. However, in a decisive move, AXS broke above the channel with a strong bullish candle, suggesting that the market’s sentiment may be shifting.
This type of move is often the first sign of a trend reversal after a prolonged corrective phase. Accompanied by increased volume, this breakout gives traders reason to believe that a new bullish phase could be in the works.
Key Support Zones and Potential Upside
With the breakout, AXS/USDT has moved into a critical phase. The previous resistance zone around 1.80–2.00 USDT now acts as key support. This level will be vital in determining whether the current rally can continue.
If the price can hold above this support and confirm the breakout, the market will likely continue its upward movement. On the upside, the target price range of 3.00–3.10 USDT suggests a potential increase of over 200% from the recent base.
These levels are important as they coincide with previous consolidation zones and psychological resistance. If the bullish momentum remains strong, the price may be able to move toward these targets.
Failure to hold support around 1.80–2.00 could signal that the rally was only temporary.
Market Sentiment and Price Consolidation
The surge in AXS/USDT was driven by aggressive buying, as seen in the steep candles and rising volume. This type of impulse suggests that FOMO (fear of missing out) might be at play, with many traders jumping in late to chase the rally.
However, after hitting resistance around 2.26 USDT, the price action slowed, and consolidation began. During this phase, the market is showing signs of indecision.
Smaller candles and lower volume suggest that participants are digesting the rapid move. This period of consolidation is crucial as it will determine whether the price can break out again or if it will pull back into a range.