SpaceX's stock is plunging deeper into a downtrend, shaking investors since its June IPO. On July 23, shares closed at $118.24, marking a 27% drop for the month and falling well below the $135 debut price. This drop has fueled a massive rally for short sellers, who now sit on roughly $15.5 billion in unrealized gains, based on data from Ortex Technologies cited by Reuters.
Despite a slight bounce during the July 23 session, when the price rose from an opening of $115.10 to close at $118.24, the stock remains trapped far below critical moving averages. The 20-day EMA stands at $137.24, the 50-day at $142.32, and the 200-day at $138.84. This stacked and declining average structure signals ongoing selling pressure rather than a temporary dip.
Technical momentum remains firmly bearish. The MACD histogram is at -3.84, indicating expanding downward momentum, while the RSI hovers just above oversold territory at 42.26, not yet signaling a reversal. Volatility is high too, with an ATR14 reading of 8.43, meaning daily price swings are substantial.
Adding to the pressure, insider lock-up agreements are set to expire in August, potentially unleashing more shares and increasing supply. The stock's slide has been sharp enough to attract attention, reflecting a marked shift in market sentiment since SpaceX’s public debut.
Shares of SpaceX (SPCX) dipped 1.2% in early trading following these developments.
