Preheat the oven to 400°F (200°C).

In a mixing bowl, combine ground chicken, bread crumbs, egg, garlic powder, onion powder, salt, and pepper. Mix well.

Form the mixture into meatballs and place them on a baking pan.

Bake the meatballs for 20 minutes or until cooked through.

In a skillet, heat olive oil over medium heat and add sliced mushrooms. Sauté until they are golden brown.

Pour in heavy cream, thyme, and stir until combined. Simmer for 5 minutes.

Add the baked meatballs to the mushroom sauce and simmer for an additional 5 minutes.

Garnish with parsley before serving.