Blaize Holdings Soars 53% on $120M AI Deal — Can This Momentum Sustain?

Summary
• Blaize Holdings (BZAI) surges 53.3% to $4.6452 in intraday trading on July 18, 2025
• $120M hybrid AI partnership with Starshine Computing Power targets APAC’s fastest-growing economies
• Options chain shows 148.9% implied volatility for August 15 call options, signaling intense speculative activity
• Intraday range of $5.33 to $4.48 highlights volatile momentum as investors react to strategic expansion news

Blaize Holdings has ignited a frenzy in the AI sector with a staggering 53.3% intraday rally, driven by a landmark $120 million hybrid AI deployment agreement with Starshine Computing Power. The stock’s sharp rebound from a $4.48 low to a $5.33 high reflects immediate market validation of the company’s edge AI infrastructure ambitions in Asia. With options volatility spiking and technical indicators mixed, this article deciphers the catalysts, sector dynamics, and actionable options strategies for traders navigating this high-stakes move.

Landmark $120M AI Contract Ignites Investor Optimism
Blaize Holdings’ 53.3% intraday surge stems from a strategic $120 million partnership with Starshine Computing Power to deploy hybrid AI infrastructure across APAC’s fastest-growing economies. The collaboration, targeting smart cities, industrial automation, and public services in India, Indonesia, Japan, and South Korea, positions Blaize’s energy-efficient GSP-based platform as a scalable solution for edge computing. This deal validates the company’s thesis that hybrid AI (combining GPU and GSP architectures) is the next frontier in AI infrastructure, particularly as APAC governments prioritize localized, low-latency AI solutions. The announcement aligns with global trends in AI-driven urbanization and energy-efficient computing, creating a tailwind for Blaize’s market narrative.

Semiconductor Sector Volatility Contrasts with Blaize’s Bullish Surge
While the broader semiconductor sector grapples with geopolitical tensions and overcapacity concerns—evidenced by TSMC’s $11.6 billion funding drive and Samsung’s restructuring—Blaize’s 53.3% gain highlights a divergence. The company’s focus on edge AI infrastructure in APAC, a market projected to grow to $245 billion by 2028, positions it as a high-growth outlier. Unlike TSMC’s capital-intensive foundry model or Nvidia’s enterprise GPU dominance, Blaize’s programmable, energy-efficient architecture targets underserved edge computing niches, offering a compelling value proposition for smart city and industrial clients in Asia.

Options and ETF Strategies for Navigating Blaize’s Volatility
• RSI: 55.86 (neutral to bullish)
• MACD: 0.1127 (bullish), Signal Line: 0.1160 (bearish), Histogram: -0.0033 (bearish divergence)
• Bollinger Bands: Upper $3.2256 (below current price), Middle $2.7935
• Moving Averages: 30D $2.689 (below price), 100D $2.7067 (below price)
• Support/Resistance: 30D support $2.35–$2.3672

Blaize’s technicals suggest a short-term bullish trend amid high volatility. The RSI hovering near 56 indicates moderate buying pressure, while the MACD’s bearish histogram signals potential exhaustion in the rally. Key levels to monitor include the $4.48 intraday low (support) and the $5.33 opening high (resistance). For traders, the BZAI20250815C5 call option (strike $5, expiration Aug 15) and BZAI20251121C4 (strike $4, Nov 21) offer compelling leverage. The former has a 148.9% implied volatility, 7.17% leverage ratio, and 52% delta, balancing gamma sensitivity (0.2037) and theta decay (-0.0162). A 5% price rise to $4.876 would yield a $4.876 - $5 = $0 payoff for the $5 call, while the $4 call could see a $4.876 - $4 = $0.876 profit. The latter’s 121.99% implied volatility and 2.91% leverage ratio make it a mid-term play on sustained momentum. Aggressive bulls may consider BZAI20250815C5 for a short-term breakout above $5, while hedgers might pair it with BZAI20250815P5 (put option) to manage downside risk. If $4.48 support breaks, consider shorting the BZAI20250815P5 put for a bearish trade.

Backtest Blaize Holdings Stock Performance
The backtest of BZAI's performance after an intraday increase of 53% shows mixed results. While the 3-day win rate and 10-day win rate are both 33.33%, indicating a moderate short-term success, the 30-day win rate drops to 20.83%, suggesting that holding the ETF for a longer period may not be as favorable.

Act Now: Blaize’s AI Breakthrough Could Fuel Sustained Gains
Blaize Holdings’ 53.3% rally is a high-stakes bet on APAC’s AI infrastructure boom, with its $120M Starshine partnership offering a clear revenue catalyst. While technical indicators show mixed signals—RSI in neutral territory and MACD divergence—options data underscores aggressive speculative positioning. The sector’s divergence from broader semiconductor struggles (e.g., TSMC’s funding challenges) suggests Blaize’s edge AI niche could outperform. For traders, the BZAI20250815C5 call option and BZAI20251121C4 offer leveraged exposure to this momentum. Watch for a $5.33 breakout to confirm the trend or a retest of $4.48 support. As sector leader Nvidia (NVDA) rises 0.2%, Blaize’s AI infrastructure play could redefine edge computing’s value proposition. Act now: Target $5.33 breakout or retest $4.48 support to validate the move.