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Morpho (MORPHO) Drops 3.16% Amid Profit Taking and Technical Selling

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Morpho (MORPHO) saw its price drop by 3.16% over the last 29 hours, driven by short-term profit taking and technical selling into resistance.

The move is consistent with a classic post-rally digestion pattern, where prices gradually decline after a strong rally.

A recent analysis noted that MORPHO has been in an ascending wedge since early 2026, clearing supply around $2.20 and recently testing resistance near $2.90 before consolidating near the 50-day EMA around $2.40.

The high-volume 1h selloff on X flagged a 'distribution' event, where sellers unloading into bids set the tone for the move.

On the positive side, Morpho's Midnight fixed-rate lending markets have launched on Ethereum, expanding its product offering and giving users access to USDC loans backed by WBTC and cbBTC with fixed terms and rates.

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