Why is Morpho price down 10.7% today?

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Morpho slides 10.74% today to $2.062

Highlights

Morpho Blue surpassed $10.7 billion in deposits and $3.9 billion in active loans, underlining rapid DeFi adoption.
Integrations with Robinhood Earn and Coinbase further broadened institutional and retail participation, boosting Morpho's total value locked to $6.84 billion.
Despite broader selling pressure, MORPHO/USD maintains a bullish technical structure with anticipated trade between $1.837 and $2.343 over five days.

Large inflows and participation expand as selling pressure persists

Morpho’s core decentralized lending protocol, Morpho Blue, was reported to hold more than $10.7 billion in deposits and $3.9 billion in active loans as of July 8, 2026, with total value locked at $6.84 billion. Integrations with Robinhood Earn and Coinbase enabled greater retail and institutional participation. Over $2 billion in on-chain loans was launched by major entities, and $2.8 billion in USDC deposits was reported in Morpho vaults, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, notes that MORPHO dropped sharply by 10.74% despite recent positive integrations with Robinhood Earn and Coinbase. He highlights that, although technical setups remain bullish overall, intraday volatility and mixed momentum signals call the sustainability of this uptrend into question. Kharitonov sees low ADX readings and overbought indicators as warning signs, particularly given heavy selling pressure today. He emphasizes that the sizable downside gap and proximity to support levels make further declines plausible if sentiment worsens. "Despite strong headline figures and positive technical structure, traders should beware of false rebounds and limit exposure while volatility remains elevated," he advises.

Viktoras Karapetjanc, expert at Traders Union, views Morpho’s strong fundamentals and major integrations as confirmation of lasting growth potential. He emphasizes the protocol’s healthy adoption figures, including $10.7 billion in deposits and broad institutional interest through Robinhood Earn and Coinbase. The analyst believes the bullish technical setup and continued value inflows support the case for an eventual rebound. Karapetjanc expects further expansion and sees current price weakness as an opportunity. "In my view, the underlying bullish structure remains intact and investors should look for new highs as Morpho deepens its ecosystem footprint," he asserts.

Bullish alignment holds as momentum signals turn mixed

MORPHO/USD is trading above the 20-day, 50-day, and 200-day moving averages at $1.9139, $1.9481, and $1.6773 respectively, confirming ongoing bullish short-, medium-, and long-term trends. The near-term ceiling stands at $2.201 and the floor at $2.057, with the Ichimoku Kijun at $1.949 acting as support. The bullish alignment of the 50-day versus the 200-day average reinforces longer-term positive structure. Momentum signals are mixed. Moving Average Convergence Divergence (MACD) points to persistent buying interest, but the Average Directional Index (ADX) remains low, indicating lack of strong trend conviction. The Relative Strength Index (RSI) is in neutral-buy territory and Bull/Bear Power (BBP) above zero suggests buyers dominate intra-day action, even as the Commodity Channel Index (CCI) and Stochastic RSI both signal overbought conditions. Awesome Oscillator (AO) aligns with the underlying bullish momentum. MORPHO/USD is currently at $2.062, having declined $0.248 or 10.74% for the day after opening with a downside gap of about $0.12 (5.19%). The asset is trading near its daily low, with intraday volatility at 7.00%. Early selling pressure is evident, and the market is consolidating near support.

Earlier, analysts noted that downside risks dominated Morpho’s short-term outlook amid technical deterioration and persistent selling pressure. The current shift toward a bullish trend, supported by major integrations and ongoing accumulation above key moving averages, positions Morpho for potential upside if price sustains above the consolidation zone and buyers defend the $2.057 support level.

Source of Data: MORPHO Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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