TradeCityPro | GALA: At Key Support, Wait for Bitcoin Dominance👋 Welcome to TradeCity Pro.
In this analysis, I want to review the GALA coin for you. It is one of the first gaming crypto projects, currently ranked 86th on CoinMarketCap with a market cap of 628 million dollars.
📅 Weekly timeframe
In the weekly timeframe, as you can see, a very long-term range box has formed between the zones of 0.01307 and 0.08243, and the price has been ranging between these two areas for quite a while.
🔍 An interesting point regarding the volume within this box is that every time the price moved upward from the bottom to the top of the box, the volume increased, and during the price declines from the top to the bottom, the volume decreased.
📊 However, if we only look at the candles, we can see that the bearish momentum has been much stronger than the bullish momentum, and the probability of the bottom breaking is higher than the top. But this divergence between the price and the volume reduces the probability of the bottom breaking because, in my opinion, volume is more important than candles.
📉 Currently, this coin is located at the bottom area of its box, and we can say that there is a support zone between 0.01307 and 0.01547, which is almost the last support area for the price, and if this zone is broken, a new all-time low will be recorded.
💥 There is also an important area in the RSI, which is the 35.93 zone, and breaking this zone in the RSI increases the probability of breaking 0.01307.
🛒 For buying this coin in spot, the trigger at 0.08243 is suitable, but in my opinion, even if this zone is broken, do not buy any altcoins until Bitcoin dominance becomes bearish. I personally will wait until dominance changes trend and, for now, will not buy any altcoins.
🎯 The main target that the price might be able to reach is the 0.73643 zone, which is the all-time high, but considering that the inflation of this coin has been very high, the probability of reaching its all-time high is very low.
📅 Daily timeframe
In the daily timeframe, we can review the last bearish leg that the price has had in more detail.
🎲 As you can see, after the price reached the 0.06136 resistance and got rejected from this area, the bearish trend started and the price continued along a descending trendline down to the 0.01276 zone.
⚡️ Currently, the 0.01276 support is the most important support for the price, and as we saw in the weekly timeframe, if this zone is broken, a new all-time low will be recorded. The RSI entering the oversell zone brings bearish momentum into the market and helps the break of this zone.
🔼 However, for spot buying in this timeframe, we can use earlier triggers. The best trigger is the break of the trendline, and currently, the trendline trigger is around the 0.01761 zone, and you can buy if this zone is broken.
✔️ An important point, as I mentioned in the weekly timeframe, is that Bitcoin dominance is still bullish, and as long as it does not turn bearish, buying any altcoin is not logical.
📝 Final Thoughts
This analysis reflects our opinions and is not financial advice.
Share your thoughts in the comments, and don’t forget to share this analysis with your friends! ❤️
