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Home Articles Morpho Price Could Surge as the AAVE Rival’s Fees Hits $76m

Morpho Price Could Surge as the AAVE Rival’s Fees Hits $76m

Crispus Nyaga
Crispus Nyaga
Crispus Nyaga
Author:
Crispus Nyaga
Writer
Crispus is a financial analyst with over 9 years in the industry. He covers cryptocurrencies, forex, equities, and commodities for some of the leading brands. He is also a passionate trader who operates his family account. Crispus lives in Nairobi with his wife and son.
January 2nd, 2025
Editor:
Joseph Alalade
Joseph Alalade
Editor:
Joseph Alalade
News Lead and Editor
Joseph is a content writer and editor who has actively participated in crypto for over 6 years. He enjoys educating others about Web3 and covering its updates, regulatory developments, and exciting stories.
Fact Checker:
Joseph Alalade
Joseph Alalade
Fact Checker:
Joseph Alalade
News Lead and Editor
Joseph is a content writer and editor who has actively participated in crypto for over 6 years. He enjoys educating others about Web3 and covering its updates, regulatory developments, and exciting stories.

Morpho price has done fairly well in the past few weeks, thanks to the growth of its ecosystem. The token, which bottomed at $0.7070 on November 25, has rebounded to above $3, representing a 360% surge, bringing its market cap to over $530 million. Its fully diluted valuation has risen to $3.2 billion.

Morpho price is supported by strong network growth

Morpho is a fairly new player in the blockchain industry. It is an AAVE rival that helps people to deposit and borrow funds. Depositors earn yield when their funds are borrowed, while borrowers benefit by accessing cheap capital.

Data shows that Morpho’s growth has been strong. It has received total deposits worth over $5.45 billion, with the borrowed amount being $2.01 billion. That has brought its total value locked at $3.4 billion, making it one of the biggest players in the DeFi industry. Most of the funds are in Morpho’s mainnet, followed by Base and Optimizer. 

Morpho’s price has also risen after the developers raised $50 million from Ribbit Capital and other venture capital firms, such as Pantera, Coinbase, and Brevan Howard. Historically, some venture-backed projects have performed well for some time, which analysts attribute to potential pumping as investors seek to boost the value of their investments.

Morpho’s price may continue to rise in the coming months as the developers work to boost the ecosystem. One strategy is to deploy the network on many EVM chains this year, which will increase its appeal among users. AAVE, its top competitor, is present on multiple chains, such as Arbitrum and Base. The developers are also working to expand Morpho’s offerings in 2025. 

Morpho is also making a lot of money. According to TokenTerminal, it was one of the most profitable DeFi players, making over $76 million in the last 365 days. 

Morpho price analysis

The 4H chart shows that the Morpho price has been in a slow uptrend in the past few months. In this, a series of higher highs and higher lows form, resulting in an ascending channel, as shown in yellow. It has just retreated from its upper side. 

Morpho has been supported by the 50-period moving average. It is also approaching the major S&R pivot point at $3.125. Therefore, the path of the least resistance for the token is bullish. The next point to watch is the ultimate resistance at $3.90. This will be followed by the extreme overshoot level at $4.30.

Contributors

Crispus Nyaga
Writer
Crispus is a financial analyst with over 9 years in the industry. He covers cryptocurrencies, forex, equities, and commodities for some of the leading brands. He is also a passionate trader who operates his family account. Crispus lives in Nairobi with his wife and son.