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GALA Price Increase Reclaims 2-Month High – Is the Bottom In?

2 mins
Updated by Ryan James
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In Brief

  • The GALA price closed at $0.020 this week, breaking out from a 700-day descending resistance trendline in the process.
  • While the weekly RSI has not turned bullish yet, the daily timeframe price action supports the continuing of the increase.
  • Despite the bullish GALA price forecast, a daily close below the $0.020 support area will invalidate the bullish structure.
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The GALA price broke out from long- and short-term descending resistance trendlines last week.

During the upward movement, GALA also reclaimed two horizontal resistance areas. Is this increase the beginning of a long-term upward trend?

GALA Moves Above Long-Term Resistance

The weekly timeframe technical analysis shows that the GALA price broke out from a 700-day descending resistance trendline last week. The trendline had been in place since the all-time high of $0.840.

Despite the breakout, the weekly Relative Strength Index (RSI) has not turned bullish.

Market traders use the RSI as a momentum indicator to identify overbought or oversold conditions and to decide whether to accumulate or sell an asset.

Readings above 50 and an upward trend indicate that bulls still have an advantage, whereas readings below 50 suggest the opposite.

While the indicator is increasing, it has yet to exceed 50, indicating an undetermined trend.

GALA Long-Term Price Movement
GALA/USDT Weekly Chart. Source: TradingView

Cryptocurrency traders on X are bullish. 

Crypto Tony believes that all gaming coins have now begun their bullish cycle, led by Axie Infinity (AXS) and Apecoin (APE), among others. He further added:

I will be looking for an entry on GALA and will share my chart with you all later on.

GALA Price  Movement
GALA/USDT Daily Chart. Source: X

Crypto Faibik is even more bullish in the future prospects for the GALA price due to the breakout from the long-term descending resistance trendline outlined.

GALA Price Prediction: How Long Will Increase Continue?

The daily timeframe shows that the GALA price has decreased under a short-term descending resistance trendline since July. The decrease led to a low of $0.012 on October 19.

The altcoin began an upward movement afterward, breaking out from the trendline the next day. At the time, the trendline had been in place for 95 days.

During the breakout, GALA moved above the $0.016 and $0.020 horizontal resistance area. It reached a high of $0.022 on October 29. Combined with the long-term breakout, these are all signs that the trend is bullish. 

If the GALA price increase continues, the price can reach the $0.028 resistance area, 35% above the current price. 

GALA Price Prediction
GALA/USDT Daily Chart. Source: TradingView

Despite this bullish GALA price prediction, a close below the $0.020 horizontal area can trigger a 23% drop, validating the $0.016 horizontal support area and the descending resistance trendline.

For BeInCryptos latest crypto market analysis, click here.

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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 ConditionsPrivacy Policy, and Disclaimers have been updated.

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Valdrin Tahiri
Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona School of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst. (I do not have a discord and will not contact you first there. Beware of scammers)
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