Morpho gains momentum as Kinto’s new repayment interface simplifies debt management and unlocks collateral. The upgrade boosts incentives for borrowers, while technicals and rising trader confidence point toward further upward movement.
Kinto has introduced a new repayment interface to Morpho borrowers. The upgrade shall enable users to pay debts instantly and release whatever they had received as collateral. This reduces what has been a very daunting process to a simple process.
The maturity date is fixed at November 15th, and it is supplemented with a grace period of 90 days. Early redemptions enable a strong incentive of 10% to be imposed to encourage the borrower to pay early.
The number of Kinto tokens currently locked as collateral stands at $1.3 million. However, there is already 5,700 USDC repaid. The Kinto team has incorporated safeguarding measures, which include covering an eventual deficit with tokens.
Such an easily understandable user interface has even greater benefits than releasing funds. It empowers borrowers with a clear understanding of debts and collateral.
Source: X
Technicals such as Fibonacci and VWAP are showing a promising chart. The price of Morpho has been on an upward trend. Recently, it reached $2.3240, which is the 0.618 Fibonacci retracement level at $2.3354.
The Fib chart indicates some significant support at the $2.1567 and $2.2460 levels. It also reveals a resistance at $2.4627 and $2.6248 levels. Meanwhile, the long-term target is at $3.09. This gives some buying incentive for the bulls.
Traders are also monitoring the VWAP level at $2.3271. This confirms that the current trading boundaries are tightening. Thus, there is a strong likelihood that traders are firmly adhering to this level.
Whenever price and VWAP are synchronized this tightly, it means intense interest in the asset, which is MORPHO here. It also means that there is an increase in confidence among the token holders.
Source: TradingView
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Momentum indicators are also positive. The RSI is at 63.82, suggesting moderate strength and not a strong bullish indicator. This zone indicates the possibility of further upward movement free of any overheating.
Currently, the MACD line reading is 0.0137 and the signal line is 0.0891. Moreover, the histogram is in negative territory at 0.0754, which indicates a market re-consolidating ahead of its next advance. However, this represents a bullish setup since the gaps between lines are narrowing. This could lead to a bullish crossover if the buying momentum continues.
Source: TradingView
Coinglass data has given an additional dose of optimism. Open interest in Morpho futures increased by 21.57%, to $34.26 million.
Morpho’s open interest has been steadily increasing since early July and peaked in late and mid-August. This corresponds to the Morpho’s price momentum.
The volume data is also up 174.76% to $90.51 million. The volume surged in July and August and lined up perfectly with price action. As a result, its price boomed to $2.10 once again. This further confirms that the bulls are very much in control.
Source: Coinglass
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