ASTER Price Could Use Short Squeeze as a Rebound Catalyst — Is $1.39 Possible?
ASTER's price decline may be setting up a short squeeze, potentially leading to a rebound if it reclaims the $1.39 level.Summary
Aster (ASTER) has experienced a 40% price drop in the last 30 days, but a potential rebound is brewing due to decreasing retail investment and a heavily shorted market. The Money Flow Index indicates reduced buying pressure from retail traders, while derivatives data reveals that approximately 80% of leveraged positions on Binance are short, totaling $34.6 million compared to $8.46 million in long positions. If ASTER's price rises above $1.39, a significant short squeeze could occur, forcing the closure of these short positions and potentially driving the price towards $1.88 and $2.22. Technically, the price is currently within a falling channel, but a bullish divergence in the Relative Strength Index suggests weakening selling pressure. However, a drop below $1.05 would weaken the rebound setup, and falling below $0.92 could lead to a deeper decline.
(Source：BeInCrypto)