Axelar (AXL) surges 19% but daily structure stays bearish — watch $0.065–$0.072
Axelar (AXL) posted a sharp weekend bounce — a 19.8% one-day rally on Jan 25 and a 1,200% rise in daily trading volume — but higher-timeframe structure remains bearish. A drop below $0.066 on Jan 20 previously confirmed a bearish continuation on the daily chart. During the recent rally toward $0.083, AXL failed to close daily above the key overhead supply zone and was rejected. On the upside, On-Balance Volume (OBV) made new highs and the daily RSI has risen above the neutral 50, suggesting some bullish momentum. However, moving averages have not crossed to signal trend reversal. On lower timeframes, the price threatened to fall below the 78.6% Fibonacci retracement at $0.072; hourly RSI slipped below 50 and price traded under the 50-period MA — signs of short-term weakness. Open interest surged over the weekend, raising questions about sustainability. Traders are advised to stay sidelined and watch for consolidation in the $0.065–$0.072 demand zone; a confirmed recovery above that zone could present buy setups, while a drop below $0.065 would signal bearish continuation. The near-term bias is cautious-to-bearish until higher-timeframe structure is broken and moving averages confirm a trend flip. (Main keyword: Axelar; secondary: AXL price, demand zone, Fibonacci, OBV, RSI, moving averages)
Bearish
Although AXL posted a near-term 19.8% rally with a large volume spike and OBV making new highs, higher-timeframe technical structure remains bearish. Key bearish signals: daily chart confirmed continuation after the break below $0.066; no moving-average crossover to confirm trend reversal; price failed to close above the overhead supply near $0.083. Short-term indicators also weakened — hourly RSI below 50 and price under the 50-period MA, and price threatened the 78.6% Fibonacci level at $0.072. Open Interest spiked, which can amplify moves but often precedes sharp retracements when momentum exhausts. Historically, tokens that rally sharply on thin weekend liquidity and rising OI without higher-timeframe confirmations often see pullbacks or consolidation (similar dynamics occurred during short-term weekend squeezes in 2021–2023). Therefore the expected impact is bearish-to-neutral in the short term: higher probability of consolidation or retracement to the $0.065–$0.072 zone, with a bearish continuation below $0.065. In the medium term, a confirmed daily close above the overhead supply and MA crossover would shift the outlook bullish; until then, risk management (stay sidelined or use tight stops) is prudent for traders.