- RAY sets base above prior support, signaling potential trend reversal.
- Moving averages and MACD show early bullish momentum.
- RSI warns of overbought conditions, suggesting cautious entry.
RAY breakout has captured market attention as price consolidates above previous support. Momentum indicators show buyers gaining short-term control.
Price Structure and Channel Analysis
RAY/USDT has recently broken out of a descending channel that dominated price action for several months. This channel guided prices with lower highs and lower lows, establishing a clear bearish trend.
The breakout above the channel suggests a potential shift in momentum.The price bounced from a critical support zone near $0.85–$0.90, previously acting as a strong demand area.
The current consolidation above this level forms a potential base, signaling early accumulation. Market participants may interpret this as a pause before possible upward expansion.
CryptoPulse noted in a recent tweet: “$RAY setting up after channel breakdown. Price is now consolidated above prior support, suggesting that momentum is starting to shift.” Maintaining the base around $1.00–$1.05 will be key for bulls to reclaim $1.25, $1.65, and possibly $2.17.
Technical Indicators Support Momentum
Moving averages reflect early bullish trends, with MA 7 crossing above MA 25 on the 4H timeframe. Price trading above both MAs confirms that buyers have short-term control. The widening gap between MAs indicates accelerating momentum.
Volume patterns provide additional confirmation. The breakout above prior consolidation shows expanding volume, reflecting real market participation.
Earlier, the price moved sideways with low volume, showing that buyers were slowly accumulating rather than selling. Recent high-volume bars are mostly bullish, which supports the short-term upward trend.
The MACD indicator also shows a clear momentum shift. The MACD line crossed above the signal line and moved above zero, confirming buyers are gaining control. The histogram bars are growing, showing momentum is increasing, but the steep slope suggests small pullbacks could happen.
Risk Assessment and Short-Term Considerations
RSI is at 77, showing strong buying pressure and overbought conditions. This doesn’t mean a reversal will happen immediately but increases short-term risk for new entries.
Traders may wait for RSI to cool toward 60–65 for better risk-reward. The overall trend stays bearish until RAY closes above the previous channel resistance on the daily chart.
Short-term indicators are bullish, but sustained price above key support is needed. The $0.8 level is crucial, as falling below it would invalidate the setup. CryptoPulse notes upside targets at $1.25, $1.65, and $2.17, guiding cautious accumulation and trading.
