كتب : Hatem Maher
"I am happy to start a new chapter in my career with this club and in this city," Morientes told Valencia's official website.
"I've been very lucky at every club I have played for, and my hope is to achieve a title here for the club and for the fans," the Spanish international added.
The 30-year-old put pen to paper on a reported 6 million euros ($7.7 million) after passing a medical.
Morientes has struggled to adapt in the Premiership since his arrival at Liverpool from Real Madrid in January 2005,
He scored only 12 goals in 61 appearances for the Reds.
Despite his inconsistent form with Liverpool, Morientes admitted he wanted to stay at Anfield, but was tempted by the possibility of a new challenge.
"My original intention was to stay at Liverpool, but there was a new opportunity and I had to think it over," he said.
"The dilemma was whether to stay or leave and it all happened very quickly and now I've got the chance to play for a great club," he added.
Morientes, who scored 26 times in 43 internationals appearances, was not included in Spain's squad for the 2006 World Cup finals.
The veteran goal-getter is expected to pair up with fellow international David Villa in Valencia's front line.