GALA Crypto is following the recent bearish trend that has seen a global drop in cryptocurrency market capitalization of 13 per cent in the past 24 hours. However, in today’s trading session, the Gala drop has not been as aggressive as other cryptocurrencies, dropping by only five per cent.
However, in the morning hours of the trading session, Gala Crypto was down by 26 per cent. This is likely due to many factors including the morning slip of Tether by six sents below its pegged value. Following the recent events of the other stablecoin losing 99 per cent of its value, investors have become extremely cautious. The fear and greed index, for instance, shows that most investors are in the extreme fear zone. In this zone, investors are unlikely to take huge risks, and projects such as the Gala can take a hit.
Gala prices have also been in a very long-term bearish trend that has resulted in the cryptocurrency losing 52 per cent of its value, this week alone. Unfortunately, the 52 per cent drop is likely to be extended with many signs showing the downward bleed is unlikely to stop soon.
Investors in the Gala project have also become very concerned about the recent underperformance of the cryptocurrency. Since the year started, the Gala Crypto has lost over 85 per cent of its value. As expected, such a drop has left many investors uncomfortable using the project despite it having huge utility in games. The more fear in the project, the more likely the prices continue to fall. It is a ripple effect being felt across the cryptocurrency industry, which has been very bearish in 2022.
In yesterday’s trading session, Gala prices dropped by 40 per cent. The aggressive downward trend picked in the early hours of today’s trading session, with prices dropping by 26 percent. However, the last few hours have seen the markets quell, and prices starting to recover. At the time of the writing, Gala has recovered to trade five per cent below the opening prices of $0.065.
Despite the recovery, I still expect the prices to continue with the downward trend throughout this week. There is a high likelihood of the prices continuing to set new price lows after breaking the recently set $0.031 price level. However, if today’s prices close above $0.065, then my trade analysis will be invalidated. It will also mean a chance for a bullish move.
This post was last modified on %s = human-readable time difference 18:37