• Uh oh for Raydium (RAY): Token dips 22.9% as Pump.fun looks to create its own AMM party.
• Pump.fun thinking of bringing liquidity in-house could shake things up for Raydium and its meme token game.
• Raydium feeling the market blues as indicators suggest the downward trend might stick around.

Raydium Protocol’s token, RAY, isn’t having the best day, folks. It’s seen a 22.9% drop and is currently hovering around $3.30, according to the latest figures from Coingecko. What’s behind this dip? Well, word on the street is that Pump.fun might be building its own Automated Market Maker (AMM). This move could potentially sideline Raydium, who’s currently the go-to third-party liquidity pal for Pump.fun’s platform.

As Pump.fun gears up to test the waters with its own AMM liquidity pool, the crypto market is sitting up and taking notice. There’s a real buzz because this could be a big shift in how things work in the network liquidity scene.

Pump.fun’s AMM: Here to Give Meme Tokens a Liquidity Lift?

So, what’s Pump.fun’s angle with this AMM idea? It’s all about making things smoother for meme tokens, which, right now, rely on Raydium for their liquidity needs as a third party.

This new in-house setup is designed to make things easier for these meme coins, paving a smoother path for them to step away from relying on Raydium’s platform.

If Pump.fun can pull this off, it could seriously streamline the system, maybe even let Pump.fun grab a bigger slice of those transaction fee profits, and who knows, they might even cook up some rewards for token holders.

Related: Pump.fun Eyes Own AMM, Thwarts Bybit Hacker’s Laundering Attempt

Raydium Faces Market Headwinds

While all this is unfolding, Raydium’s price is definitely feeling the pressure. As we’re writing this, RAY has tumbled by 31.7%, settling at around $2.93—bouncing between $2.89 and $4.30. Even with this downturn, Raydium is still a big player, boasting a market cap of $851.4 million and a fully diluted valuation around $1.62 billion.

But let’s be real, Raydium’s market is looking a bit wobbly right now. The total value locked (TVL) on the platform is sitting at about $1.4 billion, and there are currently 290.85 million RAY tokens floating around out of a total supply of 555 million.

Bearish Technical Signals Point to Further Price Weakness

And if things weren’t looking gloomy enough, the technical indicators are suggesting that Raydium’s bearish vibes might stick around for a bit longer.

The MACD indicator is currently flashing red with a negative value of -0.1411, and the MACD line has dipped below the signal line. This is often seen as a sign that sellers are still in control.

Related: Raydium (RAY) Price Prediction 2025-2030: Will RAY Price Hit $15 Soon?

On a slightly brighter note, the RSI (Relative Strength Index) is down at a pretty low 18.99, which is deep in oversold territory. Typically, when the RSI drops below 30, it *could* mean that the asset is due for a bit of a price bounce back. But hey, in crypto, nothing’s a given.