Gaming crypto GALA rallies nearly 350% in November — Correction ahead?

November 23, 2021 Blockchain

Gala Games’ in-house currency GALA rallied by nearly 350% in November, ignoring corrections across the top cryptocurrencies, including Bitcoin (BTC). Notably, GALA price surged from $0.088 to $0.42 between Nov. 1 and Nov. 22.

GALA’s gains came primarily in the wake of a price rally across a majority of gaming and metaverse crypto assets. For instance, MANA, the native token of Decentraland — a blockchain-based virtual world that allows users to create, experience and monetize content and applications, climbed by more than 30% month-to-date.

Similarly, SAND, the native asset of decentralized metaverse project the Sandbox more than doubled in price in November. Gaming projects, including Dvision Network (DVI) and Ultra (UOS), have also witnessed more than 100% growth in value.

Rally or correction ahead?
The upside moves across metaverse and gaming tokens picked up momentum after Facebook decided to rebrand its parent company to Meta, with CEO Mark Zuckerberg admitting that they would be “metaverse” —not social media — first.

GALA, whose issuance company Gala Games builds blockchain-based games, soared to its record high at $0.489 on Nov. 22 amid the metaverse craze. Nonetheless, the cryptocurrency also showed weaknesses in its ongoing bullish momentum as it painted a dreaded head and shoulders (H&S) structure.

One of the most widely known and trusted technical patterns, H&S, appears when the price forms three peaks in a row, with the middle one, called the head, higher than the other two, called the shoulders. Meanwhile, the three peaks have the same support level, called the “neckline.”

On its shorter-timeframe chart, GALA’s p fmed the left shoulder near $0.39, corrected lower towards its rising neckline support, rebounded towards $0.48 to form the head, got pulled back again towards the same neckline, and has now been recovering to form its right shoulder top, potentially near $0.43.