A large-scale investor has offloaded millions of ASTER tokens, absorbing a 22% loss within two weeks.
ASTER price has dropped below key levels, signaling bearish short-term bias.
Aster team calms supply-side worries by confirming no plans to sell unlocked tokens.
The digital assets market remained deteriorated on Wednesday, with the global crypto market capitalization at $2.94 trillion after a 0.65% dip in the past 24 hours.
Also, Bitcoin remained somewhat muted in the last day after the recent decline, changing hands at $86,640 following a mere 0.30% decline on its daily chart.
While most altcoins sought footing after the latest broad-based crash, ASTER is experiencing renewed selling momentum as large-scale players exit.
The digital token has lost nearly 10% of its value in the past 24 hours, underscoring overwhelming downward momentum.
According to Lookonchain, one whale has sold 3 million Aster coins, worth approximately $2.33 million today.
The entity executed the transaction when the alt traded at $0.78 per token.
Notably, the whale accumulated these tokens only two weeks ago and has now suffered a roughly 22% loss (or $667,000).
Such moves are often more than just a trade gone wrong.
Generally, whale investors have high risk tolerance and intend to hold for the long term, possibly until the asset turns bullish.
So, when a large-scale investor surrenders at a loss, it can signal a lack of conviction in short-term price rebounds.
Furthermore, the exit has coincided with ASTER’s significant price decline, magnifying prevailing bearish sentiments.
ASTER price analysis
Aster’s native token is changing hands at $0.7475 after losing more than 8% of its value in the last 24 hours.
The daily trading volume has increased by nearly 45%, signaling increased activity from participants likely exiting before further declines.
Meanwhile, ASTER has breached the crucial support zone at $0.81 – $0.82 and is ready to turn it into an overhead supply region.
That suggests immense bearishness, with any potential rebound to $0.80 likely to encounter heavy selling pressure.
Sellers are targeting the barrier at $0.72, where ASTER briefly paused during the previous dip.
Failure to attract adequate buying activity at this mark could expose the altcoin to further declines to the psychological zone at $0.70 in the near term.
Meanwhile, ASTER should reclaim $0.82 to flip to bullish.
Surpassing $0.85 with massive volumes could support breakouts to $0.90 and clear the path to $1.
Aster team boosts community confidence
Amidst the devastating downward pressure, the DEX has shifted attention to supply dynamics.
Early today, December 17, the team took it to X to address these concerns, confirming the completion of December’s Community & Ecosystem token unlock.
They have moved the unlocked assets to an address that now holds 235.2 million Aster coins after three months of coin releases.
Notably, Aster emphasized that it has no immediate plans to spend the unlocked ASTER and that the team will communicate in advance in case of future deployment plans.
While the announced transfer doesn’t add new supply to the circulating tokens, it comes amid amplified uncertainty, with traders worrying about additional selling pressure as key holders surrender.
