GALA in consolidation; Where do we go?
Hello. GALA has recently exploded almost 200%, from 0.10 to 0.28. GALA still has more potential and can reach 0.5, but for now GALA sits in a range from 0.2 to 0.288. Where will GALA go? We will be looking at GALA.
Like I said above, GALA is sitting in a consolidation from 0,2 to 0.288, which is a big difference between the high and low of the range. We do not know for sure where price will go, but there are some bullish and bearish factors in play. I will list some important factors that can dictate where price will head:
1. Price sitting on 20EMA, if this holds we could see a move to at least 0.28. If not, We will see a fallback to the 50EMA.
2. Possible(possible!) Head and shoulders pattern formation. It will be a head and shoulders pattern confirmed if 0.20 is broken with high volume. The RSI divergence at the Left Shoulder and Head parts could support the possible h&s pattern.
3. Fading Volume, which means the consolidation box is validated. If we see increasing volume, it will be a sign that a big move is happening soon.
4. RSI Downtrend. A breakout in this trendline will be bullish, while the cross of the RSI 50 to the downside will be bearish.
5. BTC price action. If BTC falls very quickly to 50k we could expect a same violent downfall of GALA to possibly below the 100EMA. However, in the case where BTC doesn't move much, GALA has possibility to continue the uptrend it started earlier.
With these factors into play, we can predict where GALA will go. We have 3 scenarios:
1. Pullback to either box support or 100EMA. This may play out when BTC crashes to 50k or lower, or when hype for GALA runs out.
2. Continuing the upmove to 0.308, this may happen if BTC doesn't crash, and the RSI breaks out of it's pattern.
3. GALA Goes out of traders' attention and goes silent. This is unlikely to happen as there is a strong uptrend in the past couple of days.
What do you think will happen? Thanks for reading this post! Appreciate in advanced feedback in the comments.
Like I said above, GALA is sitting in a consolidation from 0,2 to 0.288, which is a big difference between the high and low of the range. We do not know for sure where price will go, but there are some bullish and bearish factors in play. I will list some important factors that can dictate where price will head:
1. Price sitting on 20EMA, if this holds we could see a move to at least 0.28. If not, We will see a fallback to the 50EMA.
2. Possible(possible!) Head and shoulders pattern formation. It will be a head and shoulders pattern confirmed if 0.20 is broken with high volume. The RSI divergence at the Left Shoulder and Head parts could support the possible h&s pattern.
3. Fading Volume, which means the consolidation box is validated. If we see increasing volume, it will be a sign that a big move is happening soon.
4. RSI Downtrend. A breakout in this trendline will be bullish, while the cross of the RSI 50 to the downside will be bearish.
5. BTC price action. If BTC falls very quickly to 50k we could expect a same violent downfall of GALA to possibly below the 100EMA. However, in the case where BTC doesn't move much, GALA has possibility to continue the uptrend it started earlier.
With these factors into play, we can predict where GALA will go. We have 3 scenarios:
1. Pullback to either box support or 100EMA. This may play out when BTC crashes to 50k or lower, or when hype for GALA runs out.
2. Continuing the upmove to 0.308, this may happen if BTC doesn't crash, and the RSI breaks out of it's pattern.
3. GALA Goes out of traders' attention and goes silent. This is unlikely to happen as there is a strong uptrend in the past couple of days.
What do you think will happen? Thanks for reading this post! Appreciate in advanced feedback in the comments.
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