📊📝 "GALA Coin Analysis: Weekly Box Breakout?" 📈🚀
💹 Let's dive into analyzing GALA, a cryptocurrency that might soon be a valuable addition to our portfolio.
📅 Weekly Time Frame Analysis:
In our weekly analysis, GALA is still trading within a defined range, with support at $0.01257 and resistance at $0.06962. This range has held for approximately 700 days. Recently, the price rallied from $0.02080, with increasing volume. Upon reaching the $0.06962 resistance, a false breakout occurred, leading to a correction. The decreasing volume during this correction suggests the bullish trend could still have potential.
🔍 Importance of $0.06962 Resistance:
Before moving to the daily time frame, let's discuss why $0.06962 is a crucial level:
🔄 Refinement of Support and Resistance:
I typically ignore the initial touch and wait for future interactions to confirm the level.
📊 Significance of Future Data:
The right side of the chart holds more significance, so $0.06962 is pivotal for trading strategies.
📅 Daily Time Frame Analysis:
On the daily chart, if we consider $0.06962 as the recent high, we can draw a Fibonacci retracement. The current price is reacting to and finding support at $0.03963. If this level holds and the price moves upwards, breaking the Fibonacci high could signal a new bullish trend.
📉 Short Position Strategy:
For a short position, wait for the $0.03963 support to break. After this, you can open a short position targeting lower levels, ensuring the volume of red candles increases during the downtrend.
📈 Long Position Strategy:
To open a long position, wait for a breakout above $0.05036. If you miss this entry, aim for a long position at the $0.06962 resistance, even if it means hitting multiple stop-losses.
💰 Spot Market Buying Strategy:
For spot market buying, wait for a breakout above $0.06962 and a confirmed candle close. This breakout indicates a significant move, breaking both the weekly box and continuing the Fibonacci trend. Place your stop-loss around the 0.382 Fibonacci level. Adjust accordingly if a better structure forms in the future, and I'll update this analysis.
🛡️ Market Correction Strategy:
In case of a market correction, the 0.618 Fibonacci level is a valuable entry point. After reaching $0.02080 and confirming support, consider buying. Ensure the structure forms and triggers a buy signal before setting orders.
🔍 Project Fundamentals:
Before buying, look for green candles in the BTC pair of GALA. A confirmed breakout with green candles strengthens the bullish signal. The upcoming bull run is likely based on project strength and community support. Focus on projects with robust fundamentals and future potential. Understand the project's purpose and value before investing.
🔻 Support Levels:
$0.02796 , $0.02080 ,$0.01572
🔺 Resistance Levels:
$0.06962 , $0.11437 , $0.18586
💡 Final Note:
The recent volume spikes were not from buyers but due to a hack and theft from the project. I recommend reading up on this incident for more context.
😊 If you'd like me to analyze a specific coin or currency pair, be sure to comment so that I can allocate the next analysis for you!
⚠️ Also, please remember that I'm just an analyst, and this isn't financial advice. We're here to stay in the market and maximize profits by adhering to risk and capital management principles.
📅 Weekly Time Frame Analysis:
In our weekly analysis, GALA is still trading within a defined range, with support at $0.01257 and resistance at $0.06962. This range has held for approximately 700 days. Recently, the price rallied from $0.02080, with increasing volume. Upon reaching the $0.06962 resistance, a false breakout occurred, leading to a correction. The decreasing volume during this correction suggests the bullish trend could still have potential.
🔍 Importance of $0.06962 Resistance:
Before moving to the daily time frame, let's discuss why $0.06962 is a crucial level:
🔄 Refinement of Support and Resistance:
I typically ignore the initial touch and wait for future interactions to confirm the level.
📊 Significance of Future Data:
The right side of the chart holds more significance, so $0.06962 is pivotal for trading strategies.
📅 Daily Time Frame Analysis:
On the daily chart, if we consider $0.06962 as the recent high, we can draw a Fibonacci retracement. The current price is reacting to and finding support at $0.03963. If this level holds and the price moves upwards, breaking the Fibonacci high could signal a new bullish trend.
📉 Short Position Strategy:
For a short position, wait for the $0.03963 support to break. After this, you can open a short position targeting lower levels, ensuring the volume of red candles increases during the downtrend.
📈 Long Position Strategy:
To open a long position, wait for a breakout above $0.05036. If you miss this entry, aim for a long position at the $0.06962 resistance, even if it means hitting multiple stop-losses.
💰 Spot Market Buying Strategy:
For spot market buying, wait for a breakout above $0.06962 and a confirmed candle close. This breakout indicates a significant move, breaking both the weekly box and continuing the Fibonacci trend. Place your stop-loss around the 0.382 Fibonacci level. Adjust accordingly if a better structure forms in the future, and I'll update this analysis.
🛡️ Market Correction Strategy:
In case of a market correction, the 0.618 Fibonacci level is a valuable entry point. After reaching $0.02080 and confirming support, consider buying. Ensure the structure forms and triggers a buy signal before setting orders.
🔍 Project Fundamentals:
Before buying, look for green candles in the BTC pair of GALA. A confirmed breakout with green candles strengthens the bullish signal. The upcoming bull run is likely based on project strength and community support. Focus on projects with robust fundamentals and future potential. Understand the project's purpose and value before investing.
🔻 Support Levels:
$0.02796 , $0.02080 ,$0.01572
🔺 Resistance Levels:
$0.06962 , $0.11437 , $0.18586
💡 Final Note:
The recent volume spikes were not from buyers but due to a hack and theft from the project. I recommend reading up on this incident for more context.
😊 If you'd like me to analyze a specific coin or currency pair, be sure to comment so that I can allocate the next analysis for you!
⚠️ Also, please remember that I'm just an analyst, and this isn't financial advice. We're here to stay in the market and maximize profits by adhering to risk and capital management principles.