Aster buybacks soar 50% to $7.5K per minute — Can bulls maintain control above the $1 mark?
Aster [ASTER] experienced a notable price spike of 11.36%, climbing to a local peak of $1.16 before settling near $1.11. This rally was driven by a dramatic increase in buyback activity and heightened investor interest across both spot and derivatives markets. The renewed optimism comes as the project’s team raised the token buyback rate by 50%, escalating it from $5,000 to $7,500 per minute — a move that equates to a daily expenditure of $10 million if sustained.
This aggressive buyback strategy has had a significant impact on ASTER’s tokenomics. Over the last 24 hours alone, the team repurchased roughly 2.4 million ASTER tokens. Since launching the initiative, the cumulative buyback totals $39 million, with approximately 37.7 million tokens acquired. Notably, about half of these tokens — around 18 million — have been permanently removed from circulation through token burns, effectively reducing supply and reinforcing bullish price action.
This deflationary mechanism appears to be paying off. Following the buyback expansion, ASTER marked a 90% increase in trading volume, reaching $667 million — a clear sign of intensified interest and liquidity inflows. The spike in volume across both spot and futures markets reflects growing confidence among investors and may set the stage for a continued upward trend.
Spot market data further supports the bullish narrative. ASTER’s Spot Netflow has remained negative for three consecutive days, with outflows totaling $129.28 million compared to $121.24 million in inflows, resulting in a net outflow of $8.04 million. This indicates that more tokens are being withdrawn from exchanges — a sign that investors are choosing to hold rather than sell, reinforcing an accumulation phase.
The futures market tells a similar story of growing optimism. Perpetual contracts saw a surge in participation, with transaction counts reaching 4.7 million and total volume crossing the $11 billion mark. This uptick in activity suggests traders are actively positioning for potential price movements, likely anticipating further gains.
Technical indicators align with this sentiment. The Long/Short Ratio has climbed to 3.83, with approximately 79.28% of open positions being long — a clear indication that the majority of traders are betting on continued upside. Additionally, the Stochastic Momentum Index (SMI) rose to 18, illustrating mounting buyer strength.
If current momentum holds, ASTER could challenge its next resistance levels at $1.17 and possibly $1.23. The $1.17 mark corresponds with the Parabolic SAR indicator, which if breached, could open the door for a more prolonged rally.
However, the sustainability of this bullish momentum hinges on continued demand. A drop in spot or futures interest could lead to a retracement back to the psychological support at $1.00. As long as ASTER remains above this level, the bullish structure remains intact.
Why is Aster rallying now?
The recent price surge comes after a period of sluggish performance, during which ASTER formed higher lows but struggled to gain real traction. The strategic decision by the Aster team to increase the buyback rate acted as a catalyst, injecting both confidence and capital into the market. This decision not only reduced the available token supply but also signaled a commitment to long-term value creation — something many investors were quick to respond to.
What are traders watching next?
Market participants are now closely eyeing the $1.17 resistance level. A successful breakout could pave the way for a test of the $1.23 zone, and possibly even higher if broader market sentiment remains supportive. Conversely, failure to hold above $1.00 could trigger a short-term correction, particularly if buyback rates are reduced or if macroeconomic factors shift unfavorably.
How does the burn mechanism support price?
By eliminating a substantial portion of the repurchased tokens from circulation, the Aster team has implemented a deflationary model that naturally exerts upward pressure on the token’s value. With roughly 18 million tokens burned so far, the circulating supply has shrunk significantly. This scarcity effect, especially when combined with increased demand, creates the ideal conditions for a sustained rally.
What could derail this rally?
Despite the positive momentum, several factors could undermine ASTER’s bullish trajectory. A sudden drop in buyback spending, declining trading volume, or a shift in investor sentiment could quickly reverse recent gains. Additionally, external market factors — such as regulatory developments or Bitcoin price fluctuations — may also exert downward pressure on altcoins like ASTER.
Are whales playing a role?
Large holders, often referred to as whales, appear to be actively accumulating ASTER. On-chain data suggests a trend of significant wallet addresses withdrawing tokens from centralized exchanges, which often precedes long-term holding or strategic redeployment. This behavior aligns with the current narrative of accumulation and suggests confidence among key market players.
How sustainable is the current buyback rate?
Spending $10 million daily on buybacks is a bold strategy, but it raises questions about sustainability. If the project’s treasury or revenue streams cannot support such aggressive purchasing for an extended period, there could be a future reduction in buyback intensity. This would likely impact price momentum, making sustained long-term growth contingent on organic demand and utility adoption.
Could Aster become deflationary long-term?
If the token burn mechanism continues at its current pace, ASTER could enter a deflationary cycle where the total supply steadily decreases over time. This would make each remaining token more scarce and potentially more valuable — assuming demand remains stable or increases. Long-term deflationary models have proven successful for other projects, and ASTER could follow a similar path if managed carefully.
What’s next for ASTER?
Beyond short-term price targets, ASTER’s ability to attract long-term investors will depend on its broader ecosystem development, use case adoption, and transparency around buyback funding. While the current momentum is encouraging, achieving lasting growth will require more than just token burns — it will demand real-world utility and continued innovation.
In conclusion, Aster’s aggressive buyback strategy has reignited investor enthusiasm and lifted the token above key psychological levels. While the $1.17 and $1.23 resistance points pose immediate challenges, the underlying fundamentals — including reduced supply and strong futures participation — suggest the rally may still have room to run. However, sustainability remains the key question, and all eyes will be on whether the bulls can maintain control in the coming days.