After Aster adjusted its token mechanism, ASTER initially surged, but the upward momentum was short-lived. Foreign media believe this rebound was primarily driven by expectations of buybacks and token burns, and is insufficient to change the token's previous downward trend.
99% of the platform fees will be used for buybacks.
According to Aster's disclosure on the X platform, the protocol will henceforth use 99% of its daily platform fees to buy back the native token ASTER. Simultaneously, an equivalent amount of ASTER in the reserves will be burned, and the tokens obtained from the buyback will be distributed to stakers.
The report points out that this equates to a 198% increase in buyback and burn rates, which was the direct cause of ASTER's rapid price surge on June 17th. The price rose from $0.661 to $0.803 that day, a single-day increase of approximately 21%.
- The price increased by approximately 1.34% in the last 24 hours.
- It rose by about 21% at one point during trading on June 17.
- Daily trading volume increased by 366%.
After a short-term surge, prices fell back.
However, foreign media believe that this rise occurred within a larger consolidation range, and a long-term upward trend has not yet formed. The price quickly gave back some of its gains after the initial surge, indicating that some market participants were more inclined to sell on the rebound.
The report also mentioned that Bitcoin's recent weakness has put pressure on the altcoin market. Bitcoin's rebound to around $67,000 failed to hold and subsequently fell back, putting pressure on highly volatile tokens including ASTER.
Foreign media reports suggest the overall structure remains bearish.
Judging from the price action, the commentary states that ASTER has been continuously hitting new lows on the daily chart since October of last year, and the downtrend structure remains intact. In the short term, the previous day's rally appears more like a news-driven impulse than a confirmation of a trend reversal.
The article argues that after a short-term surge, ASTER has shown signs of weakness, with the market pricing in this type of positive news more like a "news-driven" reaction. Based on this assessment, the token may still face further downward pressure.
