Long AAVE / Short MORPHO mean reversion play becomes interesting at this point:


AAVE took most of the damage already. Non-believer whales and funds dumped, retail panicked. Bad news is priced in.
Meanwhile, good news on MORPHO is baked into the chart. It went almost +100% from bottom on the Apollo and Coinbase news + traction increased.
Retail and late joiners started saying MORPHO > AAVE after smart money is already in profit.
Fundamentals on AAVE in short to mid term remain solid with clear roadmap, while MORPHO was driven by good news and traction growth but no update on tokenomics yet.
The risk in this play is ACI joining Morpho or Morpho announcing value accrual to its token holders. It'd drive the price further.
NFA. DYOR.
AAVE6,24%
MORPHO3,57%
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