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Axie Infinity (AXS) Daily Performance Analysis: January 26, 2026
Axie Infinity (AXS) has captivated the cryptocurrency market in January 2026 with a notable surge, yet today, January 26, 2026, presents a nuanced picture marked by both significant bullish catalysts and emerging short-term bearish signals. After a period of impressive gains, the AXS token's recent performance indicates a phase of consolidation and potential pullback, influenced by a confluence of ecosystem developments, technical indicators, and market dynamics.
Price Performance Overview
Throughout January 2026, AXS has been a standout performer, experiencing a substantial rally that saw its price surge by over 200% this month. This upward trajectory included a sharp 23% daily increase on January 22, pushing the token past the psychological resistance of $2.40. However, the momentum appears to be easing, with AXS notably falling by 5.93% over a 24-hour period on January 24, suggesting a coin-specific correction amidst a broader crypto market that saw slight gains. Further analysis from January 25 highlighted a 41% surge followed by a 17% decline, pointing to increased volatility. Forecasts for today, January 26, 2026, anticipated a possible decrease of approximately 1.59%, potentially bringing its price to around $2.25 if it hit its higher value target.
Key support levels for AXS are currently identified between $2.17 and $2.20, with a more critical structural support around $1.62–$1.64. On the upside, resistance is observed at $2.54, followed by $2.72 and $3.01.
Factors Affecting Axie Infinity Price Performance
Several factors are currently shaping AXS's price action:
1. Transformative Tokenomics Overhaul: A primary driver of the recent bullish sentiment has been Sky Mavis's aggressive economic reforms, implemented from January 7, 2026. Crucially, the halt of Smooth Love Potion (SLP) emissions in the game's Origins mode aims to combat bot farming and inflation, significantly reducing sell pressure on the game's secondary tokens. Complementing this, the introduction of bAXS (bonded AXS) as a new reward token, which is 1:1 backed by AXS but non-transferable by default, is designed to incentivize genuine player engagement and keep value within the ecosystem rather than being immediately offloaded on exchanges. This strategic shift addresses previous inflationary issues, fostering a more sustainable token economy and injecting fundamental bullishness into AXS.
2. Renewed GameFi Interest and Ecosystem Expansion: The broader cryptocurrency market has witnessed a rotation of capital back into the GameFi sector, fueling renewed optimism for blockchain gaming projects like Axie Infinity. Sky Mavis has been diligently rebuilding Axie, transitioning it from a singular play-to-earn model to a more expansive gaming ecosystem. The anticipated release of 'Atia's Legacy,' an upcoming MMO-style title, signals a commitment to deeper gameplay and enhanced player retention, which could further solidify AXS's value proposition.
3. Influential South Korean Market Dynamics: South Korean exchanges, particularly Upbit and Bithumb, have played a significant role in AXS's recent rally, accounting for over 40% of its global trading volume. The high risk-appetite of South Korean retail investors for gaming tokens has often created a 'Kimchi Premium,' where AXS trades at higher prices on Korean platforms, driving global price discovery and attracting international arbitrage. While contributing to upward price pressure, this concentrated demand also highlights a reliance on regional sentiment.
4. Mixed Signals from Whale Activity: Initially, large holders, or 'whales,' were observed reducing their AXS exposure during the early stages of the January rally. However, this trend reversed in late January, with whale wallets reportedly increasing their holdings by approximately 160,000 tokens since January 22, indicating a renewed conviction. While this accumulation offers some short-term support, it doesn't entirely offset the risks posed by other technical indicators.
5. Technical Overbought Conditions and Profit-Taking: Despite the strong rally, AXS has entered a phase characterized by profit-taking. Technical indicators, such as the Relative Strength Index (RSI), reached overbought levels (e.g., 82.75 on January 24), historically signaling an imminent price correction. A bearish divergence in the RSI and the appearance of a bearish harami candlestick pattern near recent highs indicated weakening buying momentum and an increased likelihood of a pullback. Furthermore, an increase in AXS balances on exchanges and a three-year high in deposit transaction counts suggest that more tokens are moving to exchanges, potentially creating selling pressure.
6. Lingering Concerns Regarding User Adoption: A critical long-term concern for Axie Infinity remains the subdued growth in new players on its Ronin network. Weekly new active addresses have remained below 10,000, a significant drop from over 500,000 in 2024. This lack of substantial user base expansion points to a potential saturation of the play-to-earn model and could pose structural challenges for sustained recovery without a fresh influx of new players.
Conclusion
As of January 26, 2026, Axie Infinity (AXS) is navigating a complex market environment. The comprehensive tokenomics revamp and promising ecosystem developments, such as 'Atia's Legacy,' have undoubtedly reignited investor interest and driven significant price appreciation throughout January. However, the short-term outlook suggests caution, with technical indicators flashing overbought signals and evidence of profit-taking. While whale accumulation provides some underlying support, the muted growth in new active users on the Ronin network remains a crucial factor for long-term sustainability. Investors and observers should closely monitor the interplay between these fundamental improvements and the immediate technical pressures to gauge AXS's trajectory in the coming days and weeks.
The cryptocurrency market on January 29, 2026, is marked by a flurry of regulatory activity, significant technological advancements, and varied asset performance, painting a dynamic picture for investors and enthusiasts alike.
Regulatory Landscape Takes Center Stage
Today, the focus intensifies on the regulatory front with key developments in the United States and the United Kingdom. The U.S. Senate Committee on Agriculture, Nutrition, and Forestry has rescheduled its highly anticipated markup session for the crypto market structure bill to January 29. This move signals renewed bipartisan momentum and could pave the way for clearer definitions of jurisdiction between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), potentially unlocking substantial institutional investment. Concurrently, the SEC and CFTC are holding a joint public meeting to discuss coordinating regulatory efforts within the crypto sector. This collaboration aims to establish a unified regulatory framework, solidifying the U.S.'s position as a leader in digital assets.
Across the Atlantic, the United Kingdom has ushered in new tax rules for crypto assets, with the Reporting Cryptoasset Service Providers (Due Diligence and Reporting Requirements) Regulations 2025 coming into effect on January 1, 2026. These regulations mandate crypto service providers to conduct thorough due diligence and collect comprehensive transaction data. Meanwhile, a report from Standard Chartered has issued a cautionary note, estimating that stablecoins could divert approximately $500 billion from U.S. banks by 2028, a forecast that is expected to escalate discussions around digital asset regulation.
Bitcoin Consolidates Amid Macroeconomic Watch
Bitcoin (BTC), the market's leading cryptocurrency, is currently navigating a period of consolidation, trading largely within the $81,000 to $95,000 range, with its price hovering around $88,000-$89,000. Despite broad dollar weakness, Bitcoin has struggled to achieve a decisive breakout, as traders remain cautious ahead of the Federal Reserve's policy meeting today. The Fed is widely expected to keep interest rates unchanged, with market participants eagerly awaiting signals regarding future rate cuts. Analysts note that futures market data suggests a potential target for Bitcoin at the $93,500 liquidity zone, driven by a concentration of leveraged short positions that could trigger a cascade of liquidations if reached. Indonesian market analysis indicates a potential for sideways movement with a mild bullish bias, with Bitcoin possibly testing resistance in the Rp1.50–1.53 billion range.
Ethereum Forges Ahead with AI Integration and Quantum Preparedness
Ethereum (ETH) is poised for a significant technological leap with the expected launch of ERC-8004 today. This new standard aims to enable trustless interaction and verification among AI agents on the Ethereum network, fostering a new era of decentralized AI applications. Beyond this, Ethereum is actively progressing in its quantum security initiatives. An estimated 20% of the necessary upgrades to enhance post-quantum security are already complete, with further collaborative discussions slated for February 2026. This proactive approach aims to future-proof the network against emerging quantum computing threats. Institutional adoption of Ethereum continues to gain momentum, with significant amounts of ETH held in corporate treasuries and its increasing role in real-world asset tokenization.
Altcoins Experience Renewed Interest
While Bitcoin consolidates, several altcoins have demonstrated impressive performance, signaling a potential rotation of capital within the market. Over the past week, tokens like Hyperliquid (HYPE), Pump.fun (PUMP), River (RIVER), and Canton have registered substantial gains, with Hyperliquid leading the charge with a 65% increase. This surge in altcoin activity has contributed to an increase in altcoin dominance. Other altcoins such as Hedera (HBAR) and USOR are also on traders' watchlists, exhibiting signs of accumulation and strong bullish momentum, respectively.
Security Concerns Highlight Ongoing Challenges
In a development underscoring persistent security challenges in the crypto space, the US Marshals Service is investigating a potential breach of government digital asset accounts. It is alleged that over $60 million was stolen in late 2025 from wallets, some of which reportedly held seized cryptocurrencies by the government. This incident highlights the critical need for robust security measures across all facets of the digital asset ecosystem.
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What will the price of AXS be in 2027?
In 2027, based on a +5% annual growth rate forecast, the price of Axie Infinity(AXS) is expected to reach $2.31; based on the predicted price for this year, the cumulative return on investment of investing and holding Axie Infinity until the end of 2027 will reach +5%. For more details, check out the Axie Infinity price predictions for 2026, 2027, 2030-2050.What will the price of AXS be in 2030?
About Axie Infinity (AXS)
What Is Axie Infinity?
Axie Infinity is an NFT game on the Ronin network that combines elements of digital pet breeding, player-vs-player (PvP) combat, and cryptocurrency trading. It is developed on the Ronin network, a customized Ethereum sidechain built specifically for the game itself. In Axie Infinity, players can own, trade, breed, raise, and combat using non-fungible token (NFT)-based Axie creatures. Each Axie creature is unique in terms of its attributes and appearance, and is stored as an NFT on the blockchain, granting true ownership to the player.
The game's popularity has exploded in recent years, largely due to the elegant integration of gaming, crypto, and blockchain elements. Players can earn cryptocurrency rewards by participating in battles and other in-game activities, making it a prominent name in the GameFi world. However, in 2022, Axie Infinity suffered a major hack, resulting in significant financial losses for the platform and its users. To compensate victims, the project managed to raise USD 150 million.
Resources
Resources: https://whitepaper.axieinfinity.com/
Official Website: https://axieinfinity.com/
How Does Axie Infinity Work?
The core gameplay of Axie Infinity centers around owning and battling with Axie creatures, where players can team up with their friends, engage in single-player modes, or even compete in player-vs-player (PvP) tournaments. Battles are turn-based and involve strategy, with players selecting moves for their Axies and using their unique abilities to gain an advantage over opponents. The outcome of each battle is determined by a combination of factors such as Axie attributes, player strategy, and luck.
The game also features an active in-game marketplace where players can buy and sell Axies, land plots, and other virtual items. Transactions in the marketplace are facilitated by the game's native cryptocurrencies, Axie Infinity Shards (AXS) and Small Love Potion (SLP). AXS serves as the primary currency for governance, staking, and in-game payments, while SLP is earned by playing the game and used to breed Axies. The integration of these cryptocurrencies into the game's ecosystem allows players to monetize their in-game activities.
What Is AXS Token?
Axie Infinity Shards (AXS) is the primary cryptocurrency of the Axie Infinity game. It serves multiple purposes within the game's ecosystem, including governance, staking, and in-game payments. Players can use AXS to vote on proposals that affect the game's development and future, participate in staking to earn rewards, and make in-game purchases. Additionally, AXS can be traded on various cryptocurrency exchanges, providing players with the opportunity to convert their in-game earnings into real-world assets.
Axie Infinity's Impact on Finance
Axie Infinity has had a significant impact on the world of finance, particularly in the emerging field of GameFi (Game Finance). By successfully combining gaming and blockchain technology, Axie Infinity has created a new form of financial interaction where players can earn cryptocurrencies by participating in the game. This has opened up new income streams for players, especially in regions where traditional financial systems may be less accessible.
What Determines Axie Infinity's Price
The dynamics of Axie Infinity price are influenced by a myriad of factors, intricately woven into the game's play-to-earn mechanism and the broader cryptocurrency market trends. Central to the Axie Infinity universe are the unique digital creatures known as Axies, which are essentially non-fungible tokens (NFTs) symbolizing ownership and rarity. The AXS crypto price tends to fluctuate based on the trading and breeding activities surrounding these Axies, their value determined by various attributes like rarity, experience, and unique abilities.
The Axie Infinity market cap is notably impacted by the governance token, Axie Infinity Shards (AXS), and the utility token, Smooth Love Potion (SLP). The AXS coin price is tightly linked to the game's decentralized governance system where holders can stake their tokens to claim rewards and partake in key governance votes, influencing the Axie Infinity price prediction. In contrast, the SLP, primarily used for breeding Axies, has an unlimited supply, potentially affecting the Axie Infinity coin price due to its fluctuating value based on supply and demand dynamics.
As you explore deeper into the Axie Infinity price analysis, it is essential to recognize the role of the game's economic potential in determining the AXS price today. Players have multiple avenues to earn within the game, including participating in player vs. player battles, breeding, and trading Axies on the marketplace, and speculating on the value of rare Axies. These activities not only offer a glimpse into the Axie Infinity price live but also shape the AXS price prediction 2023, contributing to the game's overall trading volume and market dynamics.
Furthermore, the Axie Infinity trading volume is significantly influenced by broader cryptocurrency market trends and the integration of blockchain technology in the gaming industry. The game's native cryptocurrency, AXS, operates on the Ethereum blockchain, aligning the Axie Infinity (AXS) price USD with trends and fluctuations in the Ethereum network. As you ponder the AXS price forecast, it is crucial to monitor developments in the blockchain sector and potential updates from the developers, Sky Mavis, which could influence the Axie Infinity latest price and the Axie Infinity coinmarketcap.
To make an informed decision on when to buy Axie Infinity coin, prospective investors should conduct detailed research, considering both the game's internal dynamics and the broader crypto market trends. The Axie Infinity historical price data can provide insights into potential future trends, aiding in crafting a more accurate AXS coin price prediction. As the Axie Infinity universe continues to evolve, with new developments like the introduction of virtual land plots and potential expansions, staying updated with the AXS crypto news will be vital in navigating the vibrant and ever-changing landscape of Axie Infinity's market.
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