As crypto market sentiment improves, Morpho’s MORPHO token has risen approximately 20% in the past 24 hours, reaching as high as $1.92. Following Bitcoin’s rebound from around $60,000, some capital has flowed back into mid- and small-cap tokens, with MORPHO being one of them.
Short-term rebound drives recovery
The data shows that MORPHO previously entered oversold territory but has recently shown significant recovery. The RSI has risen to 49.36, indicating reduced selling pressure compared to earlier levels. The MACD histogram remains negative, but downward momentum is weakening.
MORPHO is still trading below its 50-day exponential moving average, and upward resistance has not been fully overcome. The price will now face testing in the $1.97 to $2.00 range. If buying momentum fails to continue, the market may revisit the previous low near $1.59.
Market sentiment remains cautious.
Although some altcoins have rebounded, the overall market has not fully strengthened. The article notes that the Crypto Fear & Greed Index is currently at 16, remaining in the "extreme fear" zone. Under these conditions, altcoin rallies are typically harder to sustain, and short-term price fluctuations may be amplified.
Morpho launches new lending scheme
In addition to the price rebound, Morpho recently released a technical paper on Morpho Midnight—a protocol design tailored for fixed-rate, fixed-term lending scenarios, aimed at meeting institutions' demand for predictable financing conditions.
According to the article, Morpho Midnight will consolidate liquidity with the same maturity date to address the issues of fragmented liquidity and inefficiency that have plagued past DeFi fixed-rate lending products. The product targets the $25 billion on-chain credit market.
If this product gains adoption in the future, Morpho Protocol’s total value locked and fee income could both expand, potentially attracting more institutional capital. For MORPHO, such product developments are more worthy of sustained market attention than mere short-term price rebounds.