🚨Someone is warning that today's SpaceX lockup expiration could deliver another leg down.
According to this analyst, $SPCX is already down 50% from its all-time high, and that entire collapse happened while only about 4% of shares were tradeable, meaning the stock could not hold up even with almost no supply hitting the market.
Today, August 6, the first major lockup expires. Up to 911.5 million shares become eligible for sale, a sudden increase in supply landing on a stock this analyst says already cannot find enough buyers. They believe a break below $100 is on the table.
They point to a smaller historical comparison: when Tesla's lockup expired in 2010, roughly 93 million shares unlocked and the stock dropped about 15% on the added supply alone. This analyst notes SpaceX's unlock is roughly 10 times that size, hitting all at once.
According to this analyst, a float that expands this quickly does not get absorbed immediately, it tends to get absorbed slowly, and often at lower prices.
Their broader view is that this flush is the setup rather than the ending, with real accumulation potentially beginning once the forced selling from this unlock clears.
Whether this plays out is something every investor will have to decide for themselves.
Not financial advice. Do your own research.
$SPCXB $SPCX.US
According to this analyst, $SPCX is already down 50% from its all-time high, and that entire collapse happened while only about 4% of shares were tradeable, meaning the stock could not hold up even with almost no supply hitting the market.
Today, August 6, the first major lockup expires. Up to 911.5 million shares become eligible for sale, a sudden increase in supply landing on a stock this analyst says already cannot find enough buyers. They believe a break below $100 is on the table.
They point to a smaller historical comparison: when Tesla's lockup expired in 2010, roughly 93 million shares unlocked and the stock dropped about 15% on the added supply alone. This analyst notes SpaceX's unlock is roughly 10 times that size, hitting all at once.
According to this analyst, a float that expands this quickly does not get absorbed immediately, it tends to get absorbed slowly, and often at lower prices.
Their broader view is that this flush is the setup rather than the ending, with real accumulation potentially beginning once the forced selling from this unlock clears.
Whether this plays out is something every investor will have to decide for themselves.
Not financial advice. Do your own research.
$SPCXB $SPCX.US