RAY is showing strong bullish momentum and is on track for a potential 30% rise to $4.20, supported by Raydium’s active token buyback initiatives.
The token has gained 10% in the last 24 hours and is currently trading near $3.30, stabilizing after a sharp rally from $2.40 to $3.86 a 60% increase. The price action remains firmly positive, with RAY forming five straight higher highs and higher lows. Additionally, the token continues to trade above both the 20-day EMA and the 50-day SMA, which have sustained a bullish crossover since mid-April.
This upward momentum seems largely fueled by Raydium’s continuous token buyback initiative, which dedicates 12% of trading fees to purchasing RAY from the market. Although the pace of buybacks has eased since mid-March, they have remained relatively consistent, with periodic surges in activity.
RAY faces immediate resistance at the $3.50 level. A confirmed breakout above this point could pave the way for a move toward $4.20 a key horizontal resistance zone that previously served as long-term support before February’s sharp decline. Reaching $4.20 would represent a nearly 30% gain from current prices. If that level is breached, the next significant barrier lies around $5.70, an area where RAY faced repeated rejections both before and after its January rally that topped out at $8.60.
The Relative Strength Index (RSI) is currently at 58, suggesting there’s still room for upward movement if the price escapes its current consolidation range.
However, this bullish setup could be invalidated if RAY falls below the $2.20 support level. A break below that could push the price down toward $1.50. Despite this risk, the overall trend remains positive, supported by a steady bullish crossover between the 20-day EMA and 50-day SMA,…and a consistent uptrend over the past two months.
