Axzon sensor tags can indeed become more difficult to read if they are placed close together, and the tag density you have is in the ballpark where this can be a problem. Setting a minimum distance is tricky because it can depend on the environment, the orientation of the tags, exactly how much read degradation is tolerable, and so on. But in general, tags should be well isolated from each other when they are at least a wavelength apart (about a foot). You can often get away with somewhat closer spacing, but, like I mentioned, it all depends. It often helps to orient tags perpendicularly to each other if you are trying to reduce spacing.
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