SpaceX Stock Jumps 12% After Major Share Lockup Expiration

SpaceX stock recently traded near $128, marking a strong gain of over 11 percent. The sharp rally arrived just one day after the first major insider lockup expiration freed over 900 million shares for public sale. Many traders worried this massive supply increase would crash the price, but that heavy selling wave has not appeared.

Ahead of the expiration, the stock had slid from June highs near $225 down to $105, which suggests the market already priced in the dilution. Fresh analyst upgrades, strong earnings showing $7.8 billion in revenue, and heavy call options buying quickly pushed prices back up. Major financial institutions remain divided, with some viewing the supply increase as a temporary heavy weight on shares, while others see a clear buying opportunity.

Looking ahead, traders are closely watching resistance levels near $137 and the $150 Fibonacci retracement target. While options data leans heavily bullish for August, upcoming tranches releasing more shares through December mean investors will need to watch closely to see if ongoing market demand can keep absorbing the new supply.