Over the weekend, Raydium [RAY] witnessed a 22% increase on Sunday, the 17th of November, reaching a new annual high of $6.3, indicating potential for further growth according to market experts.
The surge during the weekend was particularly remarkable within the Solana ecosystem; nonetheless, SOL only recorded a 10% daily surge in comparison to RAY’s impressive 22% jump.
Raydium stands out as the predominant player in the memecoin trading sector on Solana. With memecoin dominance continuing, could this lead to a continued upward trajectory for the token?
What Lies Ahead for RAY?
Since the recovery in August, RAY has soared by over 350% from $1.2 to over $5. Analysis based on technical indicators indicated that a significant move above the $5 mark could pave the way for higher price targets.
On the daily chart, there appeared to be potential for the OBV (on-balance volume) to rise to levels similar to early 2024 (1.7B). Furthermore, as illustrated by the Stochastic RSI, the price momentum hinted at a reversal from oversold conditions, implying a probable upward movement.
One of the most optimistic signs was the weekly candlestick closure. The closing of the weekly candle above $5, which also acted as a bearish order block (OB, cyan) formed in 2022, suggested that RAY might be eyeing bullish targets at $7, $8, or even $10 if the upward trend continues.
Raydium’s Impressive Growth in DEX
From a fundamental standpoint, the case for RAY appeared even stronger. With memecoin frenzy dominating the market, Raydium surpassed Uniswap [UNI] in DEX (decentralized exchange) volume in October.
Reflecting on this achievement, Ryan Watkins, co-founder at crypto VC Syncracy Capital, highlighted that Raydium played a key role in DEXs reaching a 20% share of the global exchange volume. He commented,
“Raydium now holds the top spot as the DEX with the highest volume in the cryptoeconomy. It is also guiding DEXs to their peak share of global exchange volumes at 20%. Memecoin enthusiasm equals Raydium’s treasure chest.”
However, at present, RAY seems to have cooled down slightly, potentially triggered by market participants aiming to access liquidity below $5.7.
The subsequent significant liquidity level is at $6.3, representing an upward target that could help maintain RAY above $5 and propel it to greater heights. Nevertheless, a drop below $5 might postpone the advance towards $10.