The Moonwell token has experienced a remarkable rise on Friday, surpassing a key resistance level and hitting its highest point since February. This surge coincides with the continued growth of Moonwell’s decentralized finance platform. 
Its total value locked (TVL) has soared to a record high of $251.5 million, fueled by increased DeFi activity and particularly the rise on Base, Coinbase’s layer-2 blockchain launched in 2023. This upward trend is further supported by developer activity exceeding many other projects in the DeFi space; with 156 commits this month—the highest since March —and a growing team of six developers. 
. The community also voted to expand Moonwell’s technology to Optimism’s Superchain, which will unify contracts across chains, share governance, and create a single app interface. This move positions Moonwell as a rising force in DeFi, challenging established players like AAVE (AAVE) and others in the lending space. . Moonwell users can deposit their coins for rewards, while borrowers gain access to capital, with USDC deposits yielding an impressive 6.8% supply APY and borrowing offering 5.8%. 
. The price chart reveals a strong recovery from its April lows of $0.01510, which gradually bounced back during the crypto market’s recovery. Moonwell currently sits above the 50-day moving average and at the 23.6% Fibonacci retracement level at $0.038. 
Despite this positive momentum, some technical indicators suggest a potential slowdown in gains. The Average Directional Index has trended downward, while the coin is forming a rising wedge pattern, a bearish reversal pattern. This warrants caution as a potential market correction may occur, but could fall below $0.030 if so. However, breaking above the upper side of the rising wedge pattern would validate the bullish trend and signal greater potential for further gains, possibly reaching the 50% Fibonacci retracement level at $0.065. 
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