Significant whale activity is driving a sharp sell-off in the ASTER token, with large holders locking in substantial losses and derivatives traders turning net short. On-chain analytics platform Lookonchain reported that a whale, identified by wallet address 0x7771, sold 3 million ASTER tokens, generating $2.33 million in proceeds but realizing a loss of $667,000—a 22% drawdown from an average entry price of $0.78. This structured, multi-batch sale suggests a deliberate reduction in risk rather than emotional liquidation.
The selling pressure is not isolated. Other large holders have recently exited positions, including one whale who dumped over 13 million tokens for a $1.37 million loss. This collective behavior from previously loyal whales, who had been accumulating during dips, indicates waning confidence in a near-term price recovery for the token that powers the Aster DEX, a multichain perpetuals trading platform.
Derivatives data reinforces the bearish sentiment. According to Nansen, the top 100 addresses (mega whales) have reduced their leveraged positions by 34.42%, with the remaining exposure net short. Simultaneously, spot whale holdings have decreased by 4.05% over 24 hours, equivalent to roughly $2 million in selling pressure. The "Smart Money Index," which tracks informed traders, has been in a downtrend since late November, signaling a shift from accumulation to distribution.
Technically, ASTER price is down nearly 20% over the past week and is testing the lower boundary of a falling wedge pattern. Analysts warn that a break below this support could trigger another 10% drop toward $0.66, with further risk down to $0.55. For any bullish reversal, the token needs to reclaim $0.96 on a daily closing basis. The token currently trades around $0.74, below the average cost basis of the exiting whales, amid a broader risk-off environment for mid-cap DeFi assets.
