RAY Surges Past $1 as Buybacks Fuel Momentum
Raydium, a crypto asset trading under the ticker RAY, has seen significant price action in recent days. After stabilizing around $0.80 for an extended period, it surged past the $1 mark and reached an 8-month high of $1.19.
The altcoin's price has since retraced slightly to trade at $1.09, representing a 33% gain on its daily charts. The trading volume has also seen a substantial increase, with a 876% surge to $114 million while the market cap rose by 32%. This indicates high market activity, particularly on the bullish side.
The Raydium Protocol's buyback program is considered a key factor in stabilizing the market. According to Defillama, the protocol allocates 86% of its total revenue towards token buybacks. On August 31st, Raydium announced its fee-funded buyback program and purchased over 30% of the total RAY circulating supply.
The protocol has spent $190 million in cumulative buybacks to acquire over 69 million RAY tokens. Additionally, a portion of every swap fee is routed to open market RAY purchases across three pools, with the rest being held in the treasury. This arrangement supports future demand and reduces market pressure.