Morpho faces selloff pressure: Downside targets to watch

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Morpho drops 7.88% today to $2.52

Highlights

Morpho can now be accessed directly through Ledger Wallet, offering hardware-level security and streamlined transaction signing.
Bitwise selected Morpho's protocol as infrastructure for its RWA vault curation business, showing expanding institutional use.
Morpho trades below key moving averages with strong bearish signals; projected range is $2.4421 to $2.6099 and further downside likely.

Ledger integration and Bitwise partnership expand use despite weak price

Morpho became accessible directly via Ledger Wallet, enabling hardware-grade security and seamless transaction signing for users, according to Ledger. This integration simplifies access for depositors and borrowers by removing the need for browser extensions or middleware, which could support platform usage over time. Bitwise has also chosen Morpho's protocol as the base for its RWA-focused vault curation business, highlighting its growing institutional footprint, though price action has remained under broader selling pressure.

Bearish momentum confirmed as resistance intensifies and volatility spikes

On the hourly chart, MORPHO trades below the MA-20 at $2.6197 and MA-50 at $2.6732, while remaining above the daily MA-200 at $2.05. The Ichimoku Kijun at $2.6305 is acting as immediate resistance. Key momentum indicators are bearish: MACD and ADX both signal strong selling, RSI reads at 26.59, and both Stochastic RSI and CCI are in oversold territory. Bull/Bear Power reflects persistent seller dominance intraday, while the Awesome Oscillator aligns with ongoing negative momentum and volatility remains elevated near session lows.

Range-bound consolidation likely amid persistent downside risk

Over the next 2 to 3 trading days, the projected volatility range is $2.4421 to $2.6099. The prevailing scenario is for MORPHO to move sideways within this band, with a very high probability of continued downside and minimal chance of a sustainable recovery. A breakout above the $2.6305 Kijun resistance would be required to shift the bias to bullish, while a drop below $2.4421 could reinforce the existing downtrend.

Anton Kharitonov, expert at Traders Union, sees Morpho trading below key moving averages with all major momentum indicators signaling active selling. Recent institutional interest and Ledger integration improve fundamentals, but these advances have not changed negative price action. Kharitonov believes the short-term price range will remain limited with downside risk dominating. "Until MORPHO can reclaim $2.6305, I view any recovery attempts as weak and prefer a defensive stance."

Earlier, analysts noted that Morpho maintained a broadly bullish technical structure amid consolidating price action, though declining liquidity heightened volatility risks. The current trend marks a clear shift, with sustained selling pressure and bearish momentum signaling that a breakdown below $2.4421 could reinforce downside risk in the days ahead.

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

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.