Posted:
- The monthly average number of players on Axie Infinity has fallen to its lowest level yet this year
- After a brief price increase, AXS has resumed its downward trend
The number of average monthly players in the leading play-to-earn (P2E) blockchain game Axie Infinity [AXS] has plummeted to the lowest level of the year, according to the country’s data activeplayer.io.
Information from the data provider shows that the average number of monthly players on the P2E platform has fallen from a peak of 2.70 million in February 2022 to less than 500,000 players in August 2023. On an annual basis (YTD), the monthly number of players on Axie Infinity is down 19%.
Source: activeplayer.io
Realistic or not, here is the market cap of AXS in terms of BTC
More than enough trouble for Axie
The past 30 days have been marked by an overall decline in user activity on Axie, additional data shows DappRadar showed. In the previous month, the number of unique active wallets (UAW) that interacted or transacted with the protocol’s smart contracts totaled 74,000, a decline of 16%.
As expected, the game’s low number of users culminated in a decline in the number of completed transactions during the reporting period. During the same period, Axie Infinity saw 1 million transactions. This represented a decline of 11% on a monthly basis.
Source: DappRadar
Furthermore, the steady decline in user activity and transactions on the protocol has caused Axie Infinity to see its revenue decline. Over the past 90 days, user costs and revenue have both fallen 53%, according to data from Token terminal.
AXS resumes the downtrend
During last week’s trading session, AXS registered according to CoinMarketCap.
It saw a significant price increase on September 14, when the price registered an intraday increase of 19%. The price increase that day coincided with a sudden increase in the number of unique active wallets on the platform. Data from DappRadar revealed a 77% increase in the number of active wallets on Axie Infinity.
Additionally, there were a significant number of short liquidations that day, suggesting that a short squeeze contributed to the price increase.
As the market euphoria begins to wane, AXS has begun its descent back to pre-September 14 price levels. At the time of writing, the altcoin was exchanging hands at $4.51.
In the spot market, token distribution has exceeded accumulation. An assessment of the token’s Directional Movement Index (DMI) showed that sellers had market control over the daily market.
How much is 1, 10 or 100 AXS worth today?
The negative directional index (red) at 23.24 was above the positive directional index (green), which stood at 21.66.
Finally, the token’s Chaikin Money Flow (CMF) was trending south at the time of writing and was noted in the negative zone. This highlighted the greater liquidity leaving AXS’s spot markets. This could result in a further decline in the value of the token if sentiment does not improve.
Source: AXS/USDT on TradingView