RAY Token Bounces After Key Announcement

RAY, the native token of Solana decentralized exchange (DEX) Raydium, is up 15% today. This notable rebound comes after the DEX revealed that it is introducing LaunchLab, a platform that could directly compete with token generator Pump.fun.

Key takeaways:

* RAY, the native token of Solana decentralized exchange (DEX) Raydium, saw a 15% price increase today.

* This notable rebound comes after the DEX revealed that it is introducing LaunchLab, a platform that could directly compete with token generator Pump.fun.

* At press time, the RAY token price hit $1.84, ending a 60% decline it had encountered in the last month.

Can RAY maintain its recovery, or is this just a temporary bounce before another cooldown?

Solana DEX: A Direct Response To Pump.fun?

Less than a month ago, reports emerged that Pump.fun was planning to launch its own Automated Market Maker (AMM), reducing its dependence on Raydium.

This development caused the RAY token price to plunge by double-digits. But earlier today, the Solana DEX seemed to have hit back with a plan to challenge Pump.fun’s dominance in the Solana ecosystem.

However, an anonymous Raydium contributor clarified that LaunchLab won’t directly compete with Pump.fun.

In a post on X, the user noted that the token generator will support SOL and multiple tokens. He also noted that its objective is to be Solana’s go-to platform for token launches.

“We’re not here to compete with launchpads currently using Raydium — LaunchLab makes on-chain token launches easier for teams, offering a neutral, permissionless infra,” The contributor stated .

Meanwhile, Richard Galvin, co-founder of Digital Asset Capital Management, believes the move is a direct response to Pump.fun’s initial proposal.

Following the development, the RAY token price, which had been trapped in a falling channel since January, broke out.

Metrics Remain Bullish

Amid this breakout, the Moving Average Convergence Divergence (MACD) also flipped to the positive region. The rise in the MACD reading indicates bullish momentum.

Besides that, the Chaikin Money Flow (CMF) also climbed past the zero signal line, indicating rising buying pressure. If this trend continues, RAY’s price might breeze past $2 in the short term.

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The on-chain outlook also supports this thesis. According to Santiment, RAY’s price Daily Active Addresses (DAA) divergence is positive. DAA is a reliable on-chain metric for tracking user activity and overall network engagement.

Low user participation is a negative price-DAA divergence indicator—a bearish indicator. However, the token might sustain the uptrend with the metric in positive territory alongside RAY’s price surge.