One large investor offloaded millions of ASTER tokens and absorbed a 22% loss within two weeks. ASTER price is below key levels, suggesting a short-term bearish bias. The Aster team allayed supply-side concerns by confirming that they have no plans to sell unlocked tokens.
The digital asset market continued to deteriorate on Wednesday, with the global cryptocurrency market capitalization at $2.94 trillion, after falling 0.65% in the past 24 hours.
Bitcoin also remained a little subdued on the last day after its recent decline, trading at $86,640 after losing just 0.30% on the daily chart.
While most altcoins are looking for footing after the recent widespread sell-off, ASTER is once again experiencing selling momentum as large players exit.
The digital token has lost nearly 10% of its value in the past 24 hours, highlighting the overwhelming downward momentum.
According to Lookonchain, one whale sold 3 million Aster coins, which is worth about $2.33 million today.
The entity executed the trade when the alternative currency was trading at $0.78 per token.
Remarkably, the whale accumulated these tokens just two weeks ago, but has now suffered a loss of approximately 22% (or $667,000).
Such movements are often more than just a failed trade.
Whale investors generally have a high risk tolerance and intend to hold for the long term, perhaps until an asset becomes bullish.
Therefore, when large investors surrender at a loss, it may indicate a lack of confidence in a short-term price rebound.
Furthermore, the withdrawal coincided with a significant price decline in ASTER, amplifying the general bearish sentiment.
ASTER price analysis
Aster’s native token is trading at $0.7475 after losing more than 8% of its value in the past 24 hours.
Daily trading volume has increased by nearly 45%, indicating increased activity from participants who are likely to exit before further decline.
Meanwhile, ASTER is poised to break through the key support zone of $0.81-0.82 and turn it into overhead supply territory.
This suggests that the pair is very bearish and is likely to encounter significant selling pressure if there is a potential rebound to $0.80.
Sellers are targeting the $0.72 barrier where ASTER paused during its previous decline.
If this mark fails to attract adequate buying activity, the altcoin could fall further to the $0.70 psychological zone in the short term.
On the other hand, ASTER needs to regain $0.82 to turn bullish.
A breakout above $0.85 on heavy volume could support a breakout to $0.90, paving the way to $1.
The Aster team increases community trust
Amid devastating downward pressure, DEXs shifted their attention to supply dynamics.
Early today, December 17th, the team reported to X to address these concerns and confirmed that the unlocking of December community and ecosystem tokens has been completed.
They moved the unlocked assets to an address that currently holds 235.2 million Aster coins three months after the coin’s release.
In particular, Aster emphasized that there are no immediate plans to use the unlocked ASTER and that the team will communicate in advance of any future deployment plans.
While the announced transfers do not add new supply to circulating tokens, they come amid heightened uncertainty, with traders concerned that keychain holders relinquishing would create further selling pressure.
