Is Axie Infinity Destined for a Price Crash?

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The gaming community has been inundated by franchises both new and old with recent content from Pokemon, Fortnite and Axie Infinity (AXS). Despite conventional computer, console and mobile based games, Axie Infinity (AXS) is looking to take its share of the market and is turning heads in the process. Even when considering the current market decline at the time of writing, AXS’s price is still very much rising.

The gaming industry has been stunned by the implementation and integration of blockchain in game development. The combination of technology and opposing views surrounding both the gaming and crypto community, has created the perfect storm for all involved. Blockchain-based games are seeing significant rise such as NBA Top Shot which alone achieved 1.5 million platforms sales in March.

The NFT game Axie Infinity has been modelled for appeal to millennials and Gen Z, with cryptocurrency and gaming rating on a higher popularity amongst those demographics, with the gamification element making the project even more relatable. Axie Infinity participants get to revel in its play-to-earn system that has been a core factor in the projects popularity and overall success. Even throughout the ongoing global pandemic, Axie Infinity gameplay encourages financial self-sufficiency in times of economic chaos.

The price gains made by Axie Infinity have been colossal, up 213% recently when compared to established players such as Bitcoin (BTC) and Ethereum (ETH), their price had increased 23% within the same timeframe. The technology on offer from Axie Infinity has recorded gains of 10,000% in 2021 alone to date.

The rise of Axie Infinity has drawn comparisons to the rise and fall of SafeMoon which was subjected to scrutiny and media pressure following its turbulent period. Many experienced traders have witnessed a pattern that solid momentum of a coins’ price will often result in a healthy market correction eventually.

Nevertheless, they are seeking to divert from this trend with Axie Infinity’s economic appeal and technology as considerable factors supporting their growth. When compared against Safemoons’ trajectory, there core principles of building charity protocols and their mantra “safely to the moon” wasn’t sufficient on its face to build enough confidence to sustain its momentum.