GameFi Tokens Axie Infinity, Sandbox Surge Amid Bitcoin Decline

Axie Infinity (AXS) rose 16.7% in 24 hours and gained 88.5% this week, while The Sandbox (SAND) climbed 15.3%, according to CoinGecko data as Bitcoin (BTC) dipped under global liquidity concerns. Decentraland (MANA) and Smooth Love Potion (SLP) posted weekly gains of 4.4% and 0.7%, respectively. The rally reflects short-term capital rotation from meme coins into high-risk gaming tokens, analysts say. Bertie Wrench of Bad Bikers cited speculative momentum amid fading meme coin enthusiasm. However, Illia Otychenko of CEX.IO emphasized project-specific catalysts: Axie’s recent tokenomics overhaul aimed at curbing bot farming and revitalizing its economy. Despite the surge, sector-wide challenges persist—GameFi saw a 75% decline in 2025 and 55% less funding than 2024, with only a few games exceeding 100,000 weekly active wallets. “This is a local rally, not a structural shift,” Otychenko said. Prediction markets show Bitcoin’s odds of reaching $100,000 fell to 71% from 84% last week. January 21, 2026