Axie Infinity remains one of the most popular play-to-earn blockchain games on the market. Or that is what people think, even though all of the crucial metrics paint a different outlook. The project appears to be in a lot of trouble retaining users, although things can always improve in the future.
AXS And SLP Fall off A Cliff
One can argue all cryptocurrency markets have seen tremendous bearish pressure throughout late 2021 and early 2022. It is a fair assessment, as Bitcoin is still down by over 50% from its all-time high. While the sentiment shows no real signs of improving, individual projects can still make a big impact. Those who expect big things from Axie Infinity will not be too happy with how things are going, as the project struggles hard across the board.
The price pressure for this popular play-to-ern game is evident across both of its tokens. Both AXS and SLP have seen steep price declines for a while now, and these past 30 days have been no different. The value of AXS now sits at under $21, a 56.5% decline in the past month. It seems unlikely the project will see a new all-time high soon, as AXS would need to hit $164.91 or higher. The current sentiment would not allow for such a push, regardless of how bullish Bitcoin and Ethereum may become.
Smooth Love Potion, or SLP, is the other crucial currency for the Axie Infinity ecosystem. It is used to breed in-game monsters and upgrade one’s account to progress further. Sadly, SLP has fallen below $0.006 once again, primarily due to a 69.6% decline these past 30 days. It still has a decent trading volume of over $50 million per day, but it appears people mainly want to sell SLP rather than buying it.
When both in-game currencies struggle, no good can come of it. People wondering whether to get into the blockchain game will see momentum stalling for AXS and SLP and look elsewhere. The game still requires an upfront investment – or a scholarship – and making back one’s initial investment can be very challenging. The price for these tokens isn’t everything, but the other metrics look very bleak too.
Steep User Decline
Another worrisome statistic for Axie Infinity is how the game loses users left, right, and center. It used to have the biggest player base across all P2E titles, but that is no longer the case. Instead, it is now ranked 16th overall, with just over 80,300 monthly active users. A respectable number were it not a 24.65% decline in the past month. The game is losing traction pretty quickly and may need a significant revamp to bring players back.
It is not uncommon for blockchain games to see player numbers go down over time. However, Axie Infinity has been overtaken by the likes of Sunflower Land, Galaxy Blocks, Jelly Squish, Color Craze, and SecondLive. Unfortunately, none of these titles made any meaningful impact to speak of, further confirming the dwindling appeal of Axie Infinity today. Aavegotchi, CryptoBlades, and PlayMining may overtake the game in the coming months unless something big changes.
Where Is The Revenue?
Play-to-earn games stand or fall depending on their revenue generation model. Revenue applies to both income for developers and the rewards generated on behalf of players. Axie Infinity does, unsurprisingly, not do well on this front either. Although the 30-day revenue is up by 114.4%, that momentum will not last. The numbers dropped by 58.9% this past week, which is not too promising. Moreover, Axie Infinity’s 90-day revenue is down by over 95.5%.
A dwindling market cap and revenue often bodes disastrous for any company or project. While crypto and blockchain ventures may prove more versatile on that front, it remains to be seen what will happen to Axie Infinity over the coming months. The current statistics do not bode well and there is no immediate improvement on the horizon.
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