ASTER Testnet Launch Sparks Clash as Liquidations Top $4M

Key Insights

• Aster launched the testnet for its layer-1 blockchain to roll out its mainnet in Q1 2026.
• Liquidations on longs rose to levels above $4 million, while only around $300K in shorts were wiped out.
• ASTER price action analysis shows the price action may be bouncing back before further continuation of the downtrend.

Aster_DEX token (ASTER) is set to gain in the near future as they roll out the testnet for their Layer-1 (L1) blockchain. The news coincided with broader market weakness. This resulted in a price drop of over 13% for ASTER as of press time.

The ASTER testnet news deserved coverage because of its clash with the community. It carried less impact than the liquidations but still mattered.

Traders accused CZ of dumping ASTER on them, a claim that proved to be untrue. Will the move to its blockchain bring a clearer path for its operations?

ASTER’s Testnet for Its L1 Blockchain Goes Live, Eyes Q1 2026 Mainnet

Aster’s public testnet for its own L1 blockchain, Aster Chain, went live, aiming to make ultra-scalable perpetual futures trading possible. The mainnet rollout was planned for the first quarter of 2026, as on-chain perp volumes continue to reach record highs.

This protocol embeds trading logic directly into the system for higher performance. Unlike L2s, it doesn’t rely on building atop existing L1s.

Aster Chain will be putting privacy first with zero-knowledge proofs. It will also enable on-chain central-limit order books, sub-second finality, high TPS, and low fees.

These are all features that make it competitive with centralized exchanges (CEXs). All this while, Aster will be completely decentralized and resistant to MEV.

Users can now give feedback, trade, and act as in a routine trading activity. The mainnet was dependent on the success of the testnet phase.

The full 2026 roadmap aimed to mature the infrastructure and expand the ecosystem. It also sought to give the community more power. This change could make Aster a powerful DeFi platform for the next wave of derivatives trading.

What Happened on ASTER Crypto Liquidations on the Day?

While there was good news, it was not all good for the buyers. Leveraged traders faced it roughest. Liquidations across ASTER had a cascading effect that was similar to what was happening in the larger market.

Within an hour, total liquidations reached $69.75K, with $61.50K in longs and $8.24K in shorts. In the 4-hour window, they rose quickly to $1.63M, with long liquidations at $1.55M.

This confirmed that traders were forced to leave when the price broke key support levels. Liquidations rose to $4.14 million over 12 hours, with longs accounting for $3.87 million.

The total for 24 hours was $4.47 million, with longs accounting for $4.15 million. This imbalance indicated that long positions were being repeatedly flushed out.

This phenomenon sped up price drops as stop losses and margin calls added to selling pressure. Hence, it could keep bearish momentum going until leverage resets.

ASTER Price Prediction: Is the Decline Pausing?

Meanwhile, ASTER price action on the 4-hour chart suggested a short-term bounce within a broader bearish structure. Price rebounded from the bulls’ demand zone around $0.40 after printing long lower wicks, showing reactive buying interest.

The RSI was recovering above 43, signalling momentum relief but still below the bullish 50 level. The MACD remained negative, with the histogram slightly improving. This implied weakening downside momentum rather than a confirmed reversal.

However, the price traded below the 50 and 200 moving averages near $0.55–$0.65, keeping the trend bias bearish. The bears at the supply zone around $0.58–$0.60 may cap upside potential.

A break above $0.60 could trigger a move toward $0.71. Also, a rejection risks continuation toward $0.42–$0.40 or lower.

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