AXSUSDT Ready to Explode? Channel Break Could Trigger Relief!

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The Axie Infinity / USDT pair on the 4H timeframe is still within a mid-term downtrend structure after failing to hold the supply area around 2.9 – 3.0 USDT.

Price action continues forming consistent Lower Highs (LH) and Lower Lows (LL), indicating strong seller dominance. Currently, price is consolidating right above a crucial support block following rejection from the main trendline resistance.


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Structure & Pattern Formation

1. Descending Channel / Falling Wedge Hybrid

Two descending trendlines are visible:

Resistance trendline (red) → connecting LHs.

Support trendline (yellow) → holding LLs.


Structure is tightening → indicates volatility compression.

This type of pattern often results in:

Continuation if breakdown occurs.

Reversal if an upside breakout happens.



2. Support Block Demand Zone

The strong demand area is located at:

1.30 – 1.35 USDT

Key confluence factors:

Previous base before impulsive rally.

Multiple wick rejections.

Volume absorption showing buyer defense.



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Key Levels

Resistance:

1.54 → Minor resistance / latest rejection.

1.65 → Mid-channel resistance.

1.90 → Horizontal resistance.

2.11 → Supply flip area.

2.65 → Major resistance.

2.94 – 3.00 → Macro supply / swing high.


Support:

1.30 – 1.35 → Major support block.

1.15 → Minor channel support.

0.91 → Extreme low / liquidity target.



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Bullish Scenario

Bullish confirmation requires:

1. Breakout above the red resistance trendline.


2. Strong candle close above 1.54.


3. Successful retest turning resistance into support.



Upside targets:

1.65

1.90

2.11

2.65

2.94


Additional confirmation:

Volume expansion on breakout.

Bullish RSI divergence (if present).

Market structure shift from LH → HH.


Meaning:
Buyers escape channel pressure and initiate a mid-term reversal phase.


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Bearish Scenario

Bearish continuation activates if:

1. The 1.30 – 1.35 support block breaks.


2. Candle closes below the demand zone.


3. Retest fails to reclaim the area.



Downside targets:

1.15

1.00 psychological level

0.91 (liquidity sweep zone)


A breakdown would confirm a new Lower Low, continuing the downtrend structure.


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Conclusion

Primary trend: Bearish (mid-term)

Current position: Above key demand

Structure: Descending channel compression

Potential: Reversal on breakout / Dump on support loss


This is a decision zone.

Price reaction between 1.30 – 1.54 will determine whether AXS:

Starts a relief rally.

Or continues distribution lower.


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