CoreWeave Hits Record High: Key Price Levels to Watch as AI Cloud Stock Surges
CoreWeave Stock Soars Amid AI Demand
Shares of CoreWeave (CRWV) surged by 25% to a record high of $150.48 on Tuesday, building on Monday’s 8% gain. The rally follows a major announcement that the AI-focused cloud computing firm and Nvidia (NVDA) partner signed a long-term data center leasing agreement with Applied Digital (APLD).
This latest development has sent investor sentiment soaring, as CoreWeave continues to benefit from the explosive growth in demand for artificial intelligence (AI) infrastructure. Adding fuel to the rally, Nvidia recently disclosed a larger-than-expected stake in CoreWeave, and the company posted first-quarter revenue growth exceeding 400% year-over-year.
Since going public in late March at an initial offering price of $40, CoreWeave’s stock has climbed 276%, riding the momentum of the broader AI boom. Let’s take a closer look at the technical factors driving the stock and the key levels investors should watch for future moves.
Ascending Triangle Breakout Signals Further Upside
One of the most bullish technical developments for CoreWeave came on Tuesday with a breakout from an ascending triangle chart pattern that had been forming since late May. This type of pattern typically signals a continuation of an upward trend.
What made the breakout especially significant was the above-average trading volume, suggesting strong buying interest from institutional investors and large funds. The relative strength index (RSI) confirms the momentum is still bullish, but also indicates that the stock is in overbought territory, meaning a short-term pullback could occur.
Bars Pattern Forecast: Targeting $200
To estimate where CoreWeave’s stock could head next, traders have applied bars pattern analysis—a technique that maps previous price moves to forecast future ones.
Using the price bars from the stock’s mid-May rally and aligning them with the triangle’s breakout point, the projection shows a potential upside target near $200. If this trend holds, the move could extend into early July, suggesting that the rally still has room to run—though possibly with some volatility along the way.
Key Support Levels for Investors to Watch
While the breakout and volume are bullish signs, investors should also be prepared for potential pullbacks. Here are three critical support levels that could come into play:
1. $122 – Immediate Support
The $122 price level is the first key area to watch. It’s near the upper trendline of the former ascending triangle, which often flips from resistance to support after a breakout. If CoreWeave dips, this level could act as a strong base.
2. $97 – Secondary Support
If the $122 support doesn’t hold, the stock may fall to around $97. This level represents the lower boundary of the previous triangle and is also close to a minor peak from last month—a common area where investors may look for re-entry during a pullback.
3. $73 – Deeper Support
A more substantial drop could see shares test the $73 level, which aligns with the high of CoreWeave’s mid-May rally and is near the 200-day moving average. This zone may attract longer-term investors looking for a value entry in a high-growth stock.
AI Infrastructure Boom Continues to Fuel CoreWeave
CoreWeave’s meteoric rise is driven by its role as a key provider of AI computing infrastructure, an industry seeing massive capital inflows and demand from firms racing to build large-scale machine learning models.
The recent deal with Applied Digital further strengthens CoreWeave’s capabilities to expand its data center footprint, enabling the company to meet growing client needs in high-performance computing and generative AI services.
Its close partnership with Nvidia only amplifies its strategic positioning, especially as Nvidia continues to dominate the AI hardware space.
Technical Caution: RSI Signals Overbought Conditions
Despite the optimism, traders should remain aware that CoreWeave’s RSI is currently elevated, signaling overbought conditions. This doesn’t mean the stock will immediately reverse, but it does suggest that short-term profit-taking could occur before the next leg higher.
Experienced investors may choose to wait for a retracement toward one of the support zones before adding new positions, while momentum traders could look for a confirmation of the breakout’s strength.
Final Thoughts
CoreWeave’s stock has become one of the top performers in the AI sector, soaring over 275% since its IPO just a few months ago. The breakout from a bullish ascending triangle pattern, combined with a major infrastructure deal and surging demand for AI services, makes this a company to watch closely.
Investors should monitor:
- A potential continuation of the uptrend to $200
- Support zones at $122, $97, and $73 for possible entries
- RSI levels to gauge when the stock might cool off
As always, while the outlook is promising, investors should weigh the risks and stay alert to market shifts—especially in such a fast-moving, hype-driven sector.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. The author does not hold positions in any of the mentioned securities.