Altcoins News

Story: SpaceX Stock Faces $98.4 Billion Insider Flood and Earnings Test Same Week

By Pankaj K

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Earnings on August 4: Revenue Estimates and Short Squeeze Risk. Wall Street expects SpaceX to report quarterly revenue somewhere between $6.72 billion and $6.

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911.5 Million Shares Hit the Market on August 6. Then there's the unlock.

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A Brutal Week Ahead. The timing is what makes it so hard. Earnings and the unlock don't just fall in the same week —…

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SpaceX shares are bleeding out. The stock closed July 31 at $108, down 3.41% on the day and a brutal 36% below its July 1 price of $171.

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That's not a dip. It's a collapse. Since hitting $225 on June 16 — just days after the IPO on June 12 — the stock has shed more than half its value.

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Short sellers are circling. There are 219.3 million shares currently shorted, which works out to roughly 39% of publicly traded shares. That's a massive short position.

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Analysts haven't given up on SpaceX. Bernstein kept its outperform rating and set a $239 price target after the company's 13th Starship test flight.

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Investors are watching Starlink and the data-center business especially closely. Those two segments are pretty much the growth story right now.

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More context: Bitcoin ETFs Pull $172.4 Million in July but Face $5.3 Billion Year-to-Date Hole

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On August 6, insider selling restrictions lift and 911.5 million shares become available for sale. At current prices, that's roughly $98.

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Think about that number for a second. $98.4 billion. Even if only a fraction of those insiders decide to sell, the potential supply overhang is enormous.

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The technical picture isn't helping either. SpaceX is sitting right on the $107.10 Fibonacci support level.

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The stock is trading inside a descending channel. Momentum is bearish. Until SpaceX clears at least $121.09, there's no real technical case for a trend reversal.

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See also: Bitcoin Hits Two-Week Low at $62,369 While KOSPI Surges 17.9%

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And the short interest situation adds another layer. 39% of publicly traded shares shorted is a significant overhang. It can flip into a short squeeze, sure.

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