SpaceX Stock Price Drops 6% After Nasdaq-100 Entry on Valuation Fears
SpaceX stock price slid more than 6% on July 7, trading near $149.47 after its Nasdaq-100 entry failed to spark sustained buying. SpaceX stock price ended about 6.8% lower, slipping back below the roughly $150 level where it began trading on June 12.
Traders had expected index-tracking funds to support the move following Nasdaq-100 inclusion. Instead, selling appeared to follow the catalyst, while broader weakness in growth stocks added pressure. The article also notes the stock is in a volatile correction phase, down about 30% from its all-time high, with $150 highlighted as a key technical level. One cited scenario suggests a bounce toward $225 could face resistance, while a breakdown below $134 may open the door to much lower levels.
Analysts remain split. Bullish calls include Deutsche Bank ($255) and Morgan Stanley ($300), with Raymond James reportedly topping targets near $800 based on long-term space infrastructure exposure. Bearish views cite valuation strain, including a lower target around $131 from MoffettNathanson and skepticism from veteran investor Jeremy Grantham, who warned of a high probability of a future major crash. Concerns focus on whether the current ~$2T market cap matches realistic growth assumptions across space programs and AI-linked plans.
For crypto traders, the main takeaway is that equity “index inclusion” optimism didn’t translate into stability—an environment that can spill over into risk sentiment across tech and speculative markets. SpaceX stock price remains sensitive to both valuation narratives and near-term technical levels.
Bearish
The news is categorized as bearish because SpaceX stock price fell sharply immediately after Nasdaq-100 inclusion—an outcome that contradicts the common “index-addition demand” narrative. Historically, when large-cap index events fail to sustain post-event bid (often due to “sell the news” positioning and broader growth-sector weakness), risk sentiment can deteriorate. The article highlights valuation skepticism (including claims that the current market cap may not be supported) and technical fragility around $150, which can keep volatility elevated and discourage broad risk-taking.
Short-term impact: equities can drag overall market risk appetite; this can pressure high-beta sectors and speculative assets, often including parts of crypto that trade with liquidity and risk sentiment.
Long-term impact: if the valuation debate persists and the stock enters deeper correction territory, it can signal that “fundamental rerating” expectations may not materialize quickly—typically a headwind for any cross-asset risk rally. However, if technical support holds and analysts’ long-term thesis (e.g., Starlink/reusable rockets/Starship progress) gains traction, it could later ease downside pressure. For now, the dominant signal is failed post-inclusion support and continued valuation concern, aligning with bearish conditions.