02 softail rear wheel bearing question

[Crawler]

So I noticed on my short ride today that was getting a clunk from what I thought was the primary. But I jacked the bike up and gave the rear wheel a wiggle and it moved a bit. So I spun it a quarter of the way around and the wiggle went away. Is this common. I'm assuming the bearing is shot. Should I replace the axle too? I should mention that I got the rear end off the ground and had it running in first and I could hear clunking. Just seems weird to me it would only wiggle in one certain spot.

[Ohio HD]

Take the wheel off and see what's what. I doubt the axle is damaged.