- Web3 gaming leader AXS Token surged more than 40% in one day, reaching a four-month high of $13.94, according to Queen Gekko.
- It is reasonable to conclude that the spike may be related to the AXS token opening event.
4.8 million AXS tokens are scheduled to be unlocked on Monday. The event will unlock approximately 1.8% of the total token supply of 270 million, according to symbols. Many experts and users associate the positive market reaction with the event.
Axie Infinity’s AXS and SLP tokens have gained 45% and 7%, respectively, in the last 24 hours. to me coinalyzeThe value of dollars locked in perpetual open futures contracts has also increased by more than 95% to nearly $100 million at press time.
The most recent market action can be associated with the token unlock event. However, some users On Twitter we also shared that the Chinese New Year celebrations may be the cause.
Several major cryptocurrencies rebounded around the Chinese New Year. Bitcoin gained nearly 9%, ETH is up 8.7%, and GALA is up 37% since the eve of the year of the rabbit.
Surprisingly, token unlocks are bearish because the events enable investors to capitulate and take profits. Tokens are locked in for considerably long periods of time to prevent holders of large amounts of tokens from selling or manipulating the price.
Despite the downside surrounding them, unlocking tokens has become an event for the project teams to share the positive news that could happen counteract the downside effect. As a result, many users are expecting a big announcement from the team in anticipation of unlocking.
Despite the market conditions, Axie Infinity has been constantly pushing content to its users in 2022. The developer plans to maintain its momentum and expand its ecosystem in 2023.
Sky Mavis, the parent company of Axie Infinity, previously announced that it will bring in more game studios to build the next generation of Web3 games on the Ronin Network. In addition, for developers Mutual They are keen to expand its ecosystem in 2023, with the launch of the official Sky Mavis Developer Portal.
The developers have also released an alpha version of their latest groundbreaking wild experience, Axi Infinity: Home, on 28 December. the Pharmville The lookalike will host players to harvest, craft, fight and build their homeland.
The Play-to-Earn leader has done relatively well in completing milestones in the roadmap and plans to maintain the same momentum for 2023.
Although it has not been determined whether the news of the token unlock caused the rally, many game projects may have started withholding important information from players due to bearish trigger events.
However, although the token unlock event has passed, Axie Infinity has not yet shared any news. Regardless of market conditions, Axie Infinity has continued to deliver on its promises and build the infrastructure for Web3 gaming.
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