For the last two weeks, the price of XAI (XAI) has been settling into an upward parallel channel. With profit-booking heating up, the probabilities are pointing toward a breakout from this bullish technical setup. This is happening despite the fact that the crypto market is seeing a steady uptick in interest in metaverse and gaming themes. Bitcoin spot exchange-traded funds (ETFs) and rumors of Ethereum (ETH) ETFs are also causing waves in the market.

DWF Labs merger causes XAI pricing to surrender gains.

Following the announcement of integration with DWF Labs, the price of XAI (XAI) increased by more than 10% on January 17. For AAA (high budget or profile) games, the world's first Layer 3 (L3) solution was released by the manufacturer of digital asset markets on XAI Games—the sentry nodes.

Also, the XAI ecosystem is resolute in its goal to get one billion more players into the Web3 ecosystem. It also has continuing ambitions to move Crypto Unicorns from the ARB chain to the XAI network, among many other connections with Arbitrum (ARB).

Importantly, XAI is an L3 orbit chain that was constructed on top of the Arbitrum economy. It was created by Offchain Labs to provide lightning-fast transactions and unparalleled scalability. In addition to the already low gas prices on XAI, all transactions involving Crypto Unicorns will be free as part of the anticipated agreement.

forecast for XAI tokens as network intensifies efforts to expand on Web 3

As of right now, the positive perspective on the XAI price will continue until the $0.53 support level is broken. Indicators like the Parabolic Stop and Reverse (SAR) are showing this, with XAI price acting as a trailing stop and finding support at $0.70.

The XAI Network price may retrace 10% to the psychological $0.70 level if sellers gain steam and the price breaks below the rising parallel channel's support.

If things take a turn for the worse, the XAI Network price can retest the $0.53 key support level, which is around 30% lower than where it is now.

A number of Santiment on-chain indicators lend credence to the pessimistic prediction. From a high of 589.79 million tokens in mid-January to the present low of 111.15 million, the amount of XAI tokens is decreasing. This is a precipitous 81% decline in the span of just seven days. This, together with the XAI bulls' muted purchasing power, strengthens the negative argument.

A stagnant proportion of stablecoin's total supply controlled by whales with more than $5 million demonstrates the enslavement of purchasing power. This statistic fell 0.3% in less than 48 hours, from January 20th to the 22nd, falling from 51.71% to 51.57%.

On the other side, if bulls make a comeback, the XAI Network price can go north and challenge the channel's midline, which is the $1.00 psychological mark. The gaming token may face resistance at $1.16 further north, or in very bullish scenarios, it may break through this level and recover the range high of $1.23. #XAI #Write2Earn #TradeNTell #TrendingTopic #Launchpool