Gala (GALA) has created a higher low relative to its May 12 bottom and has combined this with bullish indicator readings.
It has been decreasing underneath a descending resistance line since reaching an all-time high price of $0.84 on Nov 26. The downward movement led to a low of $0.049 on May 12.
After an unsuccessful bounce, the price fell to a low of $0.05 on June 12. In turn, this could have created a slightly higher low and a double bottom pattern.
Measuring from the all-time high, the price has decreased by 92%, while the aforementioned resistance line is currently at $0.12.
Double bottom
Cryptocurrency investor @DexterETH tweeted a chart, stating that recovery will be faster than other coins.
A closer look at the daily time frame does show a double bottom pattern which has also been combined with bullish divergence in the RSI (green line). Such formations usually lead to bullish trend reversals.
A RSI movement above 50 would confirm the legitimacy of the pattern.
The six-hour chart shows that the price could be trading inside an ascending parallel channel. The resistance line of the channel is currently at $0.12, aligning with the long-term descending resistance line that has been in place since the all-time high.
A movement above the short-term descending resistance line (dashed) at $0.075 would reaffirm that this reversal has begun.
GALA/BTC
The GALA/BTC chart shows similar movement, with the exception that the price has already broken out from a long-term descending resistance line. Since the line had previously been in place for 191 days, this could be the catalyst for a considerable upward movement.
If the upward movement transpires, the closest resistance would be at 500 satoshis.
For Be[in]Crypto’s latest bitcoin (BTC) analysis, click here
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
