Will AST SpaceMobile stock avoid a deeper drop amid persistent seller pressure?

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AST SpaceMobile slides 4.03% today

Highlights

AST SpaceMobile obtained a 30-year nationwide concession in Chile, authorizing mobile satellite services on designated S-band frequencies.
The company completed the launch of BlueBirds 11, 12, and 13 and advanced its AT&T handoff milestone to strengthen network capabilities.
Shares of AST SpaceMobile trade below key moving averages with strong short- and long-term bearish signals and an expected $31.22 to $40.02 range.

Strategic Chile license and network gains fail to offset selling

AST SpaceMobile has secured a 30-year nationwide concession in Chile from telecommunications regulator Subtel, providing long-term authorization to offer mobile satellite services via its SpaceMobile constellation and enabling user device communications on specific S-band frequencies, according to Telecompaper. The regulatory grant extends the company's strategic reach in South America but has not immediately offset market pressure. Alongside this, AST SpaceMobile reported progress with an AT&T handoff milestone and completed the successful launch of BlueBirds 11, 12, and 13 to bolster its satellite network, as noted by Yahoo Finance.

Mixed signals and resistance cap potential amid persistent sell bias

Technically, ASTS now trades below the MA-20 ($37.18) and MA-50 ($40.01) on the hourly chart, and is well below the MA-200 ($76.4) on the daily chart. The Ichimoku Kijun level at $38.18 marks immediate resistance, while support is found at $31.22. Momentum indicators provide mixed input: both MACD and ADX have generated Sell signals, whereas RSI and Stochastic RSI are neutral, and CCI has entered the oversold zone. Bull/Bear Power is negative at -0.85, indicating continued seller dominance intraday, while the Awesome Oscillator is neutral and does not reinforce the prevailing trend.

Volatility favored as downside risk outweighs rebound prospects

In the coming days, ASTS is expected to remain volatile within a range of $31.22 to $40.02. With a low probability of a reversal, further downside is favored unless key resistance at $38.18 is surpassed. A break below $31.22 would confirm further bearish movement, while a brief rebound remains possible in response to short-term oversold conditions, but is unlikely to lead to a sustained rally.

Anton Kharitonov, expert at Traders Union, sees AST SpaceMobile's regulatory win in Chile as a strong signal for long-term fundamental positioning, but he notes that the stock's technicals remain bearish. The analyst observes stubborn downward momentum, with price below all key moving averages and persistent seller dominance confirmed by intraday indicators. He believes that short-term oversold conditions may allow for brief rebounds, yet the risk of further declines stays elevated unless resistance at $38.18 is recaptured. "Until ASTS can retake and hold above $38.18, I remain cautious and view any upside as short-lived corrections within a prevailing downtrend."

Previously it was reported that AST SpaceMobile faced persistent bearish pressure despite achieving important regulatory milestones and network partnerships. The current developments reinforce this outlook, highlighting that sustained downside risk remains in play, with traders focusing on $38.18 as key resistance and $31.22 as critical support in the days ahead.

Source of Data: ASTS Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.