The past fourteen days saw GALA forming a consolidation phase near $0.18. Subsequently, the alternative coin broke past the highs of $0.23, establishing a short-term bullish structure. The shift in market sentiment had GALA highlighting bullishness on its respective charts (in the near term). Will buyers drive the token higher?
GALA One-Hour Chart
GALA was one of the altcoins that mimicked Bitcoin’s early February actions of surging past the resistance of $39K. Gala token flipped the resistances at $0.281 and $0.33 into supports. The levels also represent FIB retracement areas plotted from GALA’s action to $0.488 from $0.074. Furthermore, the token still respects these levels.
The alt witnessed a retracement from the local peak of $0.39 during last week’s session. However, the pullback turned lucrative for bullish structure. Meanwhile, the $0.28 mark represents the final defense against the bears’ attack during January’s second half. Therefore, retesting this territory to secure demand will highlight further upswings for GALA.
The local peaks at $0.39 present an impressive take-profit zone amid upward actions. Also, the $0.42-mark remained significant within the past few months. The alt might push towards these highs before sellers jump in the market.
Reasoning
The Relative Strength Index on GALA’s hourly price chart remained beyond the neutral mark (50). The indicator displayed a bearish divergence over recent hours, and that had GALA printing a slight pullback to $0.341 from $0.357.
Meanwhile, selling and buying volumes appeared balanced as alt printed the base at $0.18 (according to CDV). GALA joined Bitcoin’s bullish party when the leading crypto broke past $39K, and the CDV observed buying volume increase.
For now, GALA will still follow Bitcoin’s price trends. While publishing this article, Bitcoin exhibits bullish sentiment at $44,187.77. Keeping the upside stance will support GALA’s optimistic price structure.
Final Thought
GALA’s rally saw bullish momentum plus increasing demand. Meanwhile, the altcoin adheres to broad market trends. That way, GALA’s upcoming directional bias will depend on Bitcoin. As BTC expects resistance at the $46,000 – $48,000 range, market participants may need to monitor GALA actions closely. Nevertheless, $0.38 and $0.42 might be take-profit zones for long positions.
Editorial credit: Dennis Diatel / shutterstock.com