Use Ace Player (built on VLC) – plays Acestream links out of the box. Use responsibly – only stream content you have rights to.
You don't need the full Ace Player – VLC works great with Acestream links. Here's how: acestream vlc
If it doesn't work, go to VLC preferences → Input/Codecs → increase network caching to 5000ms. Use Ace Player (built on VLC) – plays