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Crypto stocks have pulled back in the past few weeks as investors focused on the falling Bitcoin and altcoin prices. Bitcoin dropped to $82,000 on Monday, about $5,000 below its highest point this month. The market cap of the industry has also dropped to $2.75 trillion. This article looks at some of the top crypto stocks to watch this week.
IREN Stock in Focus as AI Pivot Faces Headwinds
IREN, formerly known as Iris Energy, has been under pressure in the past few months. It moved from a record high of $77 in November last year to the current $27. This retreat has coincided with the ongoing jump in short interest, which has jumped to over 20%.
IREN’s crash has also mirrored that of other companies in the neocloud industry, including its Nvidia-backed peers like CoreWeave and Nebius. The decline accelerated last week after Gartner released a report showing that neoclouds will need to announce large impairments in the end of 2030.
IREN is facing major challenges. Unlike its other competitors, it has not announced large client orders this year. This is in contrast to Nebius, which announced a $27 billion order from Meta Platforms, and Nscale, which announced a $45 billion deal with Anthropic.
The company is also raising substantial sums of money in debt and equity to intensify its data center rollout. Its total debt has jumped to over $7 billion, while the number of outstanding shares have been in a slow upward trend.
Therefore, IREN stock will be in focus not because of its Bitcoin mining business, but because of its data center segment now that the AI stock bubble index has jumped to 74.
Technically, IREN has dropped below the key support level of $28.94, its lowest level on July 29, pointing to more downside.
SpaceX to Publish its Second Earnings as a Public Company
Elon Musk’s Space Exploration Technologies Corp., commonly known as SpaceX, is another crypto stock to watch this year. The company is seen as a crypto stock because of its large Bitcoin holdings, which it has held for years.
SpaceX will publish its earnings report on Tuesday this week, providing more color on its revenue and profitability growth. Analysts expect the upcoming results to show that its revenue jumped to $13 billion from $7.8 billion in the second quarter.
Most of SpaceX’s growth is coming from its AI business, where it has signed large deals with companies like Anthropic, Reflection AI, and Google. It plans to expand this business aggressively, with a plan to raise $40 billion to buy Nvidia chips.
BitMine to Reveal its Ethereum Buying Stats
Tom Lee’s BitMine is another top crypto stock to watch this week. Its stock has already dropped by 25% from its peak in September, and is now hovering around its lowest level since August 21. This retreat is because of the ongoing Ethereum price action.
BitMine stock will be in focus on Monday as it unveils its Ethereum buying stats. In its report last week, the company said that it continued buying ETH, having 6.028 million coins. Its holdings are now about 4.9% of the total ETH in circulation.
It is likely to conclude its ETH buying this month or in November. If this happens, it will now pivot to revenue generation through staking and share buyback program. Indeed, it has made the largest-ever crypto treasury buyback, at over $4 billion. It will use its staking revenue to do that.
In addition to BitMine, investors will be on the lookout for the treasury purchases by companies like Strategy and Strive.
This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency-related equities can experience significant volatility and capital losses. Investors should conduct independent research and consult a qualified financial adviser before making investment decisions.
