MORPHO +235.12% Daily Rally Amidst Broader Downtrend

On OCT 10 2025, MORPHO rose by 235.12% within 24 hours to reach $1.402, while experiencing a 2729.65% drop over the past seven days, one month, and one year, according to the latest market conditions.

MORPHO’s sharp daily gain contrasts with a broader, long-term bearish trajectory, drawing attention from both retail and institutional investors. The 24-hour rally appears to have been driven by a combination of strategic on-chain activity and renewed interest in the project’s core development roadmap. On-chain data indicates a notable increase in whale activity, with large transfers recorded across multiple blockchain explorers. Analysts suggest this could signal renewed confidence among high-net-worth holders, potentially signaling a floor for further decline.

MORPHO’s long-term underperformance, however, remains a key concern. The 2729.65% drop over the past seven days reflects a severe correction, with technical indicators such as RSI and MACD displaying oversold conditions. While the price action suggests a possible short-term rebound, it also underscores the structural weakness in the asset’s fundamentals. The recent surge appears to be more of a short-term bounce than a fundamental reversal.

The market reaction has also triggered renewed discourse among crypto analysts. Several commentators have highlighted MORPHO’s technical profile, noting that the 24-hour spike may represent a temporary reprieve in an otherwise deteriorating market environment. The absence of a clear catalyst, such as a product launch or major partnership, has led some to view the rally as speculative in nature. Analysts project that unless the asset can establish a new support level above the current price, further volatility is likely in the coming weeks.

MORPHO’s price action is now being tested against key moving averages, including the 50-day and 200-day EMA lines. The failure to hold above these levels could confirm a bearish continuation pattern, reinforcing the risk of a deeper drawdown. However, the recent 235.12% gain has disrupted some of these bearish formations, introducing a layer of uncertainty among traders.

Backtest Hypothesis

The technical indicators currently used to assess MORPHO’s price trajectory form the foundation for a backtesting strategy. This strategy focuses on evaluating historical performance using a set of predefined entry and exit rules based on the same RSI, MACD, and moving average indicators observed in recent market action. The hypothesis is that a consistent set of rules applied to past data could have identified high-probability entry and exit points during similar market conditions. The objective is to determine if a systematic approach could have capitalized on the recent price movement or mitigated potential losses during the extended downturn. By isolating the impact of these indicators, the backtest aims to refine the strategy for future application.