Key Takeaways
What’s behind Aster’s recent price drop?
Aster’s 10% drop is primarily due to whale sell-offs. Increased selling pressure and a breach of key support levels have intensified the downward momentum.
Can Aster still rebound despite the sell-off?
Despite whale selling, retail traders are buying the dip, and the Futures market remains bullish, with long positions growing.
After facing rejection at $2.2, Aster [ASTER] declined for three consecutive days, hitting a low of $1.76. At press time, the altcoin was trading at $1.8, marking an 11.04% drop over the past 24 hours.
Amid this, Aster’s long-term holders returned to the market to offload their holdings.
Aster whale offloads $12 million worth of tokens
With Aster breaching a key support level, investors, especially whales, have panicked and begun to close their positions to avoid further losses.
In fact, the Spot market has recorded higher selling pressure over the past three days. In total, sellers have offloaded 152.3 million tokens, compared to a buy volume of 124 million.
Source: Coinalyze
As a result, Aster recorded a negative delta of 28.3 million over this period, signaling higher selling volume.
EmberCN observed one such sell order. According to the on-chain monitor, a whale deposited 6.1 million ASTER, worth $12.07 million, to Binance.
In total, the whale has offloaded 12.9 million tokens, worth $26.2 million, and still holds 51.574 million ASTER, worth $98.51 million.
Typically, when whales turn to selling during a downtrend, it signals a lack of confidence, a clear bearish sign.
What about retail?
Surprisingly, while whales are aggressively selling on the spot, retail traders are buying the dip.
According to CoinGlass, Aster’s Netflow has remained negative for three consecutive days. At press time, Netflow was -$16.74 million, a drop from -$24.41 million the previous day.
Source: CoinGlass
Often, a sustained drop in Netflow implies increased accumulation, a clear bullish sign from small-scale traders.
Historically, increased buying pressure has preceded upward pressure on an asset, a prelude to higher prices.
What traders are doing
Interestingly, while prices are declining, investors in the Futures market are actively betting on a potential rebound.
According to Nansen, traders on Hyperliquid [HYPE] are mostly long, with long accounts rising by 64, while shorts dropped by 36.
Source: Nansen
At the same time, contract buys have outpaced Contract sells on Hyperliquid for three consecutive days, reflecting bullishness.
When longs and buys dominate Futures, it suggests investors anticipate the market to recover from this dip and make more gains.
Can Aster rebound?
According to AMBCrypto’s analysis, Aster is experiencing strong downward momentum driven by whale sell pressure.
As a result, the altcoin’s Stochastic RSI dropped into oversold territory, reaching a value of 14.7 at the time of writing.
Concurrently, its Relative Strength Index declined from 65 to 59, signaling a weakening of buyers’ dominance.
Source: TradingView
A drop in these indicators point to strengthening downward momentum and its potential for continuation.
If sellers, especially whales, continue to offload, Aster risks a further dip to $1.6. However, if retailers succeed in holding the pressure, they will defend $2 support and target $2.26.
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