Raydium (RAY) Market Outlook: Should You Sell?

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Raydium (RAY) Market Outlook: Should You Sell?

In Brief

  • The price of Raydium (RAY) has collapsed to $0.88, down by -13% over the past week.

  • Meanwhile, the entire market is down by -3.1% in comparison.

  • 12 historic occurrences of the hammer candle indicator suggest that prices could be headed lower.

Raydium has collapsed sharply recently, and unfortunately for investors historic price action suggest that the market is heading lower.

We certainly can't predict the future, but we can analyze what happened in the past. Stack has looked over the past performance of Raydium (RAY) in similar circumstances to try and calculate where prices might be heading.

Specifically, we investigated 12 prior occurrences where the hammer candle was spotted, this is what we found.

Why Raydium's Price Could Move Lower

Essentially, due to several similar occasions before. That is to say, we have seen this situation play out before.

Over 12 past occurrences, we found that 91.67% of the time the price increase by a median -37.86% over the following 60 days.

For example, on February 3rd, 2022 we saw the indicator and a price move of Raydium move by 0%, only to then move by -4.8% over the following 60 days.

Raydium chart

The chart above displays the past occurrences of this indicator with the price.

What are the implications for investors?

Investors need to consider that this is just one signal. Lots of factors can influence the price of any investment.

Social media, developer activity, the number of exchanges as well as on-chain activity are just a handful of factors that can affect prices. All of these factors are factored in when Stack ranks crypto assets.

{If you think that other factors, including the global crypto market, are favorable given the suggested 7-day holding period. Then it might be a good trade, or a good entry point for longer term investors. We recommend that you do your own research (DYOR) before making any investments. |It's critical to before making any investments. Crypto can be highly volatile, and other factors, including the global crypto market, are likely to influence prices. Always DYOR before jumping in.

What other factor could be moving the price of $RAY?

Lot's of factors can affect the price of any investment. These are just a few that could affect the price of Raydium.

The broader market's

The broader market is also down by a median -3.1%. Most cryptos are correlated, especially to Bitcoin and Ethereum. So this is likely affecting the price.

It's always worth researching the global macroeconomic environment. As crypto investing has become more widespread, it is increasingly becoming correlated to equities.

Project developments

How active have the developers for Raydium been?

Over the past 4 weeks there have been 85 commits on Raydium's Github account. This compares to an average of 2 commits per week.

Spotting big changes in developer activity can highlight potential new products being worked on and identify abandoned projects that might be in decline.

Social media

Social media can have a substantial impact on crypto prices. Single tweets can often move markets. It's difficult to gauge sentiment just by scrolling, but you can use products like Stack to monitor the growth of a project's followers.

Raydium's Twitter followers have risen by -0% over the past 7 days. You can view stats for other networks in the full report for Raydium.

Important Disclaimer: This material is for informational purposes only. None of the material or any material on the stack.money website should be interpreted as investment advice. Stack does not make any express or implied warranties, representations or endorsements whatsoever with regard to the material or related information. In particular, you agree that Stack and it's owners assume no warranty for the correctness, accuracy and completeness of the material.