What happened?
Aster’s price fell about 11% in the last 24 hours and has plunged roughly 33% over the past week as broader crypto markets weakened ahead of this week’s inflation report. Trading volumes spiked about 6% and remain very high, accounting for more than a quarter of the token’s circulating supply, while total value locked dropped nearly 25% from its October 10 peak of $2.4 billion. On the charts, Aster broke a bullish trend with two lower lows and strong selling around $1.25, making a move toward $1 — and possibly $0.80 — increasingly likely.
Who does this affect?
Short-term traders and leveraged positions in $ASTER face the biggest immediate risk from sudden price moves and potential liquidations. Holders and liquidity providers on the Aster platform are exposed as TVL falls and questions swirl about artificially inflated volumes. Broader market participants and competing platforms also feel it, since high volumes and volatile price action can shift liquidity and investor attention away from rivals or into safer assets.
Why does this matter?
High volumes coupled with accusations of wash-like activity erode trust, which raises volatility and could scare off institutional and retail inflows just when markets are sensitive to macro data. The drop in TVL and weaker open interest versus competitors suggest weakening fundamentals and potential liquidity stress that can amplify downward moves. If Aster breaches $1 and triggers deeper sell-offs, that could spark wider negative sentiment across crypto markets ahead of the inflation report and push capital into safer or alternative opportunities like presales and competing platforms.