CoreWeave Plummets to 14th in Trading Volume Ranking Amid 20 Billion Decline

On June 23, 2025, CoreWeave (CRWV) experienced a significant decline, with its trading volume reaching 45.06 billion, marking a 20.31% decrease from the previous day. This placed CoreWeave at the 14th position in terms of trading volume for the day. The stock price of CoreWeave dropped by 5.46%.

CoreWeave has positioned itself as a key player in the AI infrastructure sector, leveraging its role as a critical provider of AI compute infrastructure. The company's stock has seen a remarkable surge since its March 2025 IPO, driven by retail investor enthusiasm and its strategic partnerships with major tech companies. CoreWeave is one of the first cloud providers to deploy NVIDIA's GB200 Grace Blackwell Superchips at scale, achieving record-breaking MLPerf inference benchmarks. Its substantial revenue backlog, including $14.7 billion in recurring payments, underscores its growth potential. Partnerships with Microsoft and IBM further solidify its position as a must-have supplier for next-gen AI models.

However, the stock's rise is not without risks. CoreWeave faces challenges such as high debt levels, client concentration, and the upcoming September lockup expiration. The high short interest and borrow costs create a setup ripe for a short squeeze, which could be triggered by the lockup expiration. Analysts are divided on the stock, but a significant portion of coverage has "Buy" or "Strong Buy" ratings, indicating potential institutional buying ahead of the lockup.

For contrarian momentum traders, the September 24, 2025 lockup expiration presents a strategic entry point. The high short interest and borrow costs could amplify upward momentum if the stock breaches resistance levels. However, traders must be prepared for potential volatility and set appropriate stop-loss levels to mitigate risks. The debt burden, client concentration, and valuation stretch are key risks to consider. Despite these challenges, CoreWeave's catalyst-rich timeline and growth potential make it a compelling contrarian play for those willing to navigate the volatility.