RAY forms cup and handle as Raydium’s DEX volume spikes

Raydium, the leading decentralized exchange (DEX) on the Solana blockchain, is experiencing impressive growth as both its token price and trading volume surge.

Raydium’s RAY token has seen a six-day winning streak, reaching its highest price since July 21. The token is up 115% from its September lows, pushing its market capitalization to over $674 million and giving it a fully diluted valuation of $1.41 billion.

This surge comes as Raydium continues to lead the Solana DEX market, with data from DeFi Llama showing that it has processed $8.17 billion in transactions over the past week. This makes it the top DEX within the Solana ecosystem, handling more volume than all other Solana-based exchanges combined.

Raydium also boasts over $1.8 billion in total value locked (TVL), making it the 16th largest DEX in the broader DeFi market and the second-largest in the Solana ecosystem after Jito.

Much of Raydium’s growth can be attributed to the rise of Solana-based meme coins, which have collectively reached a market capitalization of $11.03 billion. Some of the biggest names in this space include Dogwifhat, Bonk, Popcat, Cat in a Dogs World, and Book of Meme.

Raydium’s expansion is also being driven by platforms like Pump.fun, which allows users to easily create and launch Solana meme coins. According to CoinGecko, all Pump.fun tokens have a combined market cap of $1.87 billion, with popular tokens like Goatseus Maximus, Fwog, Michi, Moo Deng, and Daddy Tate.

Raydium’s appeal lies in its vast selection of tokens and low transaction fees, making it a popular choice among users in the Solana ecosystem.

RAY has formed a cup and handle pattern

The Raydium (RAY) token, after bottoming out at $1.2460 in August, has surged by over 110% to reach $2.60.

The token has recently formed a golden cross pattern, with the 200-day and 50-day Weighted Moving Averages crossing each other, signaling one of the most bullish technical patterns in the market.

Additionally, Raydium has formed a cup and handle pattern, a well-known continuation signal, and has moved to the upper side of the cup’s rim, approaching the 23.6% Fibonacci retracement level.

As a result, the RAY token is expected to continue its upward trajectory, with bulls now targeting a key resistance level at $3.29, which represents a 27% increase from its current price.