SpaceX shares have fallen below the company's $135 IPO price for the first time since its record-breaking public listing, ending a four-day losing streak that wiped out a post-debut rally of over 40%. The decline raises fresh questions about the impact of the company's 18,712 Bitcoin holdings, valued at roughly $1.29 billion, on investor sentiment.
A record IPO hits turbulence
Priced at $135 per share in June, the SpaceX offering valued the company at approximately $1.8 trillion on a fully diluted basis, making it the largest IPO in history. Shares initially surged more than 40%, briefly pushing the fully diluted valuation above $2.5 trillion. But by mid-July, the stock had slipped below the IPO price, and the slide continued for four consecutive sessions. The timing coincided with SpaceX's 13th Starship test flight, which ordinarily might have served as a positive catalyst, but profit-taking appeared to dominate trading.
The Bitcoin factor
SpaceX disclosed that it holds 18,712 BTC on its balance sheet, making it one of the most significant corporate Bitcoin holders among publicly traded companies, alongside Strategy and Tesla. The Bitcoin stash creates a feedback loop for the stock: when BTC rallies, SpaceX's balance sheet gets a tailwind, potentially lifting sentiment; when Bitcoin drops, the opposite occurs. This dynamic means SPCX functions partly as a Bitcoin proxy, similar to how Tesla's stock once moved in tandem with its crypto holdings.
Perpetual futures add volatility
SPCX perpetual futures have launched on Hyperliquid, a decentralized exchange known for leveraged trading. These perps have closely tracked the equity's price movements, creating a real-time mirror of traditional market sentiment on crypto rails. High leverage and 24/7 trading could lead to sharper moves than the underlying stock, especially during off-hours. Funding rates on those contracts will be a key gauge of whether leveraged traders expect a rebound or further declines.
For investors, the takeaway is clear: at a $1.8 trillion valuation, SpaceX was priced for perfection from day one. The Bitcoin holdings and the new perpetual futures market add layers of complexity that could amplify both upside and downside moves in the months ahead.