AST SpaceMobile stock is showing exceptional strength. Why are ASTS shares rallying?
AST SpaceMobile Stock Bounces BackThe broader space sector faced heavy selling pressure on Monday following a strong run largely driven by anticipation of the upcoming SpaceX IPO. The sell-off to start the week was largely tied to the explosion of a Blue Origin rocket, which is the same launch vehicle AST SpaceMobile relies on to deploy its BlueBird satellites.Blue Origin’s New Glenn rocket erupted into a fireball during a hot-fire test at Cape Canaveral on Friday. The sell-off in AST SpaceMobile shares on Monday was in response to the failed test, especially considering that Blue Origin failed to deliver an AST SpaceMobile satellite to its target orbit on a prior New Glenn mission earlier this year.For AST SpaceMobile shareholders, the post signaled that Blue Origin’s setback may be less catastrophic than the market initially priced in. On the other hand, NASA Administrator Jared Isaacman cautioned Monday that launchpad repairs will take “serious time,” saying a 2028 recovery timeline is within the realm of possibility. AST SpaceMobile’s own mid-June Falcon 9 launch of BlueBirds 8, 9, and 10 remains on track and is independent of the Blue Origin situation — giving the company a near-term catalyst that doesn’t hinge on Blue Origin’s recovery.ASTS Chart Signals Continued MomentumASTS is extended above its major moving averages, trading 26.7% above the 20-day SMA ($90.42) and 47.8% above the 200-day SMA ($77.51), which reinforces that the primary trend remains up. The 20-day SMA is above the 50-day SMA, and the 50-day SMA is above the 200-day SMA—an alignment that typically supports "buy-the-pullback" behavior until it breaks.For momentum, MACD is the cleaner read right now: it's above its signal line and the histogram is positive, which points to improving upside pressure versus the prior downswing. In plain terms, when MACD is above its signal line, it suggests momentum is turning more favorable and sellers are losing control.Key levels are getting clearer as price pushes toward prior extremes from the past year. A prior swing high and the 52-week high were set in May, so traders often treat that zone as the next "prove it" area if the rally continues.
