Coupang Plummets 4.6% Amid Data Leak Fears and Bearish Technicals – What’s Next?

Summary
• Coupang (CPNG) crashes 4.6% to $23.205, hitting an intraday low of $22.75
• Sector leader Amazon (AMZN) declines 0.096%, signaling broader retail sector jitters
• Options chain shows surging put activity with 21-Dec expiration contracts dominating

Coupang’s sharp intraday selloff has ignited market speculation, with a reported data leak and bearish technical indicators fueling investor caution. The stock’s 4.6% drop to $23.205—its lowest since late October—has triggered a wave of put options trading, particularly around the 21-Dec expiration cycle. With the internet retail sector under pressure and technical indicators flashing red, traders are scrambling to position for a potential breakdown.

Data Leak Rumors and Bearish Momentum Trigger Flight to Safety
The selloff coincided with unverified reports of a data breach impacting Coupang’s customer database, though the company has not officially confirmed the incident. Technical indicators corroborate the bearish sentiment: RSI at 24.1 (oversold territory), MACD (-1.06) below signal line (-0.94), and a -4.6% intraday decline piercing the 50-day moving average (27.76). The stock’s 52-week range of $19.02–$34.08 suggests a 36% retracement to $22.75, aligning with today’s low. Short-term traders are capitalizing on the breakdown below Bollinger Bands’ lower band ($25.05), signaling heightened volatility.

Internet Retail Sector Under Pressure as Amazon Trails Coupang's Slide
The internet retail sector is broadly vulnerable, with Amazon (AMZN) down 0.096% despite its dominant market cap. Coupang’s 4.6% drop outpaces Amazon’s decline, reflecting its higher beta (1.18) and speculative positioning. While Amazon’s margin expansion and AI-driven logistics provide a buffer, Coupang’s exposure to margin compression and regulatory scrutiny in its international markets (e.g., Taiwan) amplifies its volatility. The sector’s 52-week performance (-18.54% for Coupang vs. 11.73% for S&P 500) underscores structural challenges in scaling e-commerce margins.

Bearish Put Options and ETF Positioning for a 21-Dec Breakdown
• 200-day MA: $27.85 (below current price)
• RSI: 24.1 (oversold)
• MACD: -1.06 (bearish divergence)
• Bollinger Bands: $25.05–$28.71 (current price at lower band)

Key levels to watch: 21-Dec 21-strike put (CPNG20251226P21) and 22-strike put (CPNG20251226P22). Both contracts offer high leverage (330.93% and 110.31%) and implied volatility above 40%, suggesting strong short-term bearish potential. The 21-strike put, with a delta of -0.085 and theta of -0.0045, is ideal for a 5% downside scenario (projected price: $22.04), yielding a $0.96 payoff. The 22-strike put (delta -0.217, theta -0.00197) offers a 75% price change ratio, capitalizing on accelerating decay as expiration nears. Aggressive short-sellers should prioritize these puts if the $22.75 intraday low holds as support.

Backtest Coupang Stock Performance
The performance of CPNG (Coupang) after experiencing a -5% intraday plunge from 2022 to the present has shown mixed results in the backtest. While the stock managed to recover and even surpass its initial price in some cases, the overall returns were relatively modest, with a maximum return of only 4.26% over a 30-day period.

Coupang’s 21-Dec Put Options Signal High-Risk, High-Reward Short Setup
The confluence of data leak fears, bearish technicals, and sector-wide headwinds positions Coupang for a potential breakdown below $22.75. Traders should monitor the 21-Dec 21-strike put (330.93% leverage) and 22-strike put (110.31% leverage) for a 5% downside scenario. With Amazon (AMZN) down 0.096%, sector-wide caution persists. A close below $22.75 would validate a short-term bearish thesis, offering a high-leverage entry for aggressive traders. Watch for regulatory updates on the alleged data breach and key support levels at $22.00 and $21.00.