The Aster token price is currently approaching a critical support zone at $1.20, where a potential double bottom reversal pattern may emerge if the price successfully tests and holds this level, despite the ongoing market weakness.
Understanding the Current Market Structure
Aster’s price action is retracting towards the $1.20 support region after facing rejection from the high of the value area. This support level has not been tested yet, but the current market structure suggests that the price is aiming for this level to potentially establish a double bottom formation. A double bottom reversal is a bullish chart pattern that forms when the price reaches a low, pulls back up, and then returns to the same low again before reversing upwards.
Key Technical Points to Consider
Several key technical points are worth noting in the context of Aster’s price movement. Firstly, the support goal is set at $1.20, which has previously acted as a strong reaction zone. Secondly, the formation of a double bottom setup could be confirmed once the price reaches and bounces back from the $1.20 level, indicating a potential reversal. Lastly, if a successful reversal occurs, the upside goals could include tests of the $1.83 and $2.20 resistance levels.
ASTERUSDT (4H) chart, source: TradingView
Aster recently rejected the high of the value range and showed clear resistance within a high volume area that limited previous upside attempts. The rejection triggered a gradual decline, and the price is now moving towards the support target at $1.20. This level has historically served as a key demand zone and coincides with a potential accumulation region where buyers may look to re-enter the market.
Confirmation and Next Steps
Although the double bottom pattern has not formed yet, the market is positioning itself for this possibility. To confirm the reversal, Aster would need to test the $1.20 level, see a bounce with significant volume inflow, and create higher lows on the lower time frames. Until these conditions are met, the structure remains a developing setup and not a confirmed reversal. The next move towards $1.20 will be crucial in determining the direction of the price.
Volume will also play a critical role as a confirmation factor once $1.20 is reached. An increase in bullish inflows and a strong candle close would confirm the formation of a double bottom. Conversely, low volumes and indecision near this level may prolong the consolidation. The short-term outlook for Aster remains neutral as the price focuses on $1.20.
Expected Price Development
A confirmed rebound from the $1.20 level could form the base of a double bottom structure and lead to a rotation towards $1.83. Sustained buying above this resistance could extend the rally to $2.20, reinforcing a medium-term uptrend. It is essential for investors and traders to keep a close eye on volume and price action around the $1.20 support to gauge the strength of any potential reversal.
The Aster token’s price movement and potential for a double bottom reversal are closely watched by market analysts. For the latest updates and detailed analysis, visit https://crypto.news/aster-token-price-eyes-1-20-support-for-a-bullish-double-bottom-reversal-ahead/ to stay informed about the developments in the cryptocurrency market.
