Raydium weekly gains over 65%, analysts expect double-digit rally

Raydium (RAY) has experienced a dramatic surge in price, rising by 65% over the past week and making it the top-performing cryptocurrency among the 100 largest digital assets. On November 9, RAY reached a 34-month high of $5.97, marking its fourth consecutive day of gains.

Key Drivers Behind Raydium’s Rally

• Coinbase Listing Announcement: One of the primary catalysts behind the surge was the announcement that Coinbase will add RAY perpetual futures on both the Coinbase International Exchange and Coinbase Advanced platforms, set to launch on November 14. Listings on tier-1 exchanges like Coinbase typically generate renewed interest in the asset, often leading to a price increase.
• Growing Presence in the Solana Ecosystem: Raydium’s growing presence within the Solana ecosystem has also played a role in the rally. The protocol has averaged $2 million to $3.5 million in daily fees since mid-October, underscoring its increasing activity and adoption.

Impressive Performance and Market Position

• Massive Monthly Gains: Over the past month, Raydium has posted a staggering 262% gain, pushing its market cap above $1.51 billion.
• Top Performer Among Altcoins: A single trader reportedly made 28.5x returns on their investment since July 2023, highlighting the potential for significant gains in a short period.

Raydium’s price surge has propelled it ahead of popular platforms like Uniswap, Solana, and Tron in daily earnings, ranking just behind Ethereum, Tether, and Circle, according to DeFi Llama data.

Raydium’s Success in the DEX Space

• Top DEX by Volume: Raydium’s share of global DEX (decentralized exchange) volume jumped 130% quarter-over-quarter, surpassing 10% of the total DEX volume. In Q3, it became the third-largest DEX by volume, just behind PancakeSwap and Uniswap, overtaking Orca.
• Rising Popularity: These developments, combined with growing interest from the crypto community, have made RAY one of the top-trending altcoins, with 91% of traders on CoinMarketCap expressing a bullish sentiment towards the token.

Technical Indicators Show Strong Trend

• MACD and ADX Indicators: Technical indicators support the ongoing rally. The MACD shows a widening gap between the MACD line and the signal line, signaling that the upward trend is gaining strength. The Average Directional Index (ADX) at 60 further confirms that the trend is likely to continue.
• Money Flow Index: The Money Flow Index (MFI), which tracks buying and selling activity, shows strong buying pressure, indicating continued demand. Additionally, the funding rate for leveraged long positions is moving into positive territory, further supporting the bullish outlook.

Analysts Bullish on Raydium’s Future

• Potential for 150% Gain: Analysts are optimistic about Raydium’s future price potential. One analyst, World Of Charts, pointed out that RAY has recently broken out of a symmetrical triangle pattern, suggesting the possibility of a 150% rally from current levels.
• Wave 3 in Elliott Wave Cycle: Another analyst noted that RAY is currently in Wave 3 of the Elliott Wave cycle, which is typically the strongest phase. This suggests that the altcoin’s uptrend could continue, with double-digit prices potentially on the horizon.

Current Price and All-Time High

At press time, Raydium is trading at $5.80, still down by 66.1% from its all-time high of $16.83, reached in September 2021. However, the current momentum suggests that Raydium could be on track for another breakout as the rally continues.

Raydium’s 65% weekly gain, combined with its 262% monthly surge, positions the altcoin as one of the top performers in the market. The upcoming Coinbase listing, strong technical indicators, and growing usage within the Solana ecosystem are key factors driving the price rally. With a bullish community sentiment and continued strong demand, RAY could see even more growth in the coming months.