Bottom Formed: 78.6% Fib retracement at $66.36 with inverse H&S breakout.
Pullback Complete: $74 dip held neckline; bullish hammer signals higher low.
Channel Holds: Left shoulder tested bottom; centerline recovered.
Trigger Ahead: Bull hammer above $94.77; $99.30 MA next.
Targets: $119/$134 Fibs, then $153 channel breakout.
Post-IPO Performance and Bearish Correction
CoreWeave, Inc. (CRWV) is a leading AI cloud provider with specialized GPU infrastructure for clients like OpenAI. Revenue has surged on robust AI demand. The company had its initial public offering (IPO) on March 28, 2025, and started trading at $39. Earnings for Q4 are scheduled for February 26.
CRWV Weekly Chart
Post-IPO Performance and Bearish Correction
Following its IPO, CRWV stock dipped to a low of $33.52 in April, before surging by $153.48, or 458%, to a high of $187.00 on June 20. The stock has been in a bearish correction since, retracing the sharp uptrend, reaching a low of $61.80 in mid-December. A 78.6% Fibonacci retracement of the prior advance was completed near the corrective low at $66.36, suggesting that a bottom may have been reached. The result was an upside breakout of an eight-week consolidation bottom. Technically, the bottom formed a small inverse head-and-shoulders pattern on the daily chart, with a downward-sloping neckline.
CRWV Daily Chart
Bottoming Formation and Early Reversal Signs
Once the bearish correction is complete, another spike in price may eventually occur. The characteristics of the trend show similarities to a large bull flag. Nonetheless, short-term patterns validate the bottom reversal. Note that the breakout week had a relatively wide range and close near the top of that range, indicating buyers were in control. Weekly volume spiked to a four-week high.
Pullback Completion and Renewed Upside Potential
CRWV stock is on the radar since it has just completed the first pullback following the bottom breakout, falling to a low of $74.00 before reversing. That dip found support at the confluence of the head-and-shoulders neckline and a 78.6% retracement, matching the retracement of the 2025 advance. Last Friday, a one-day bullish reversal triggered, indicating that the pullback is likely complete and generating a higher swing low. The week ended with a weekly bullish hammer candle pattern.
Trend Channel Dynamics
The left shoulder bottom of the inverse head-and-shoulders found support near the bottom of the trend channel. In addition to the top and bottom boundary lines of the pattern representing potential pivot zone, the center of the channel can also be recognized by the market as either support or resistance. As seen on the daily chart, there were two tight consolidation days near the center line before the advance continued. Then, the first small pullback bounced off support near the center. Friday’s advance recovered the center line, which could clear the way for a rise towards the top trendline. This bullish price action suggests an eventual minimum target near the top channel line.
Key Breakout and Resistance Levels Ahead
A weekly bull hammer breakout will trigger above $94.77. However, given the relatively large weekly range, a pullback into the range may occur first. During January, resistance seen near the 20-week average, now at $99.30. It represents the next key price level to recover in order to confirm strengthening. A daily close above the 20-week line will confirm that the buyers remain in control. In addition to the top channel line being a target, a 61.8% Fibonacci retracement of an internal downswing is at $119.05. Further up, the 78.6% retracement at $134.07. Depending on when it is reached, the 61.8% level would follow a breakout above the top of the channel. A sustained breakout of the channel would initially target a bullish reversal above the lower swing high at $153.20.
