SpaceX IPO sparks debate over crypto market impact

As SpaceX (SPCX) proceeds with its largest-ever initial public offering, the crypto market is facing both concerns about a potential liquidity drain and hopes for a cyclical rally, Decrypt reported. The company aims to raise $75 billion by offering 555 million shares at $135 each, targeting a valuation of $1.77 trillion. The listing is scheduled for 2:00 p.m. UTC on June 12. Adam Morgan McCarthy, a senior analyst at liquidity research firm LO:TECH, suggested that both retail and institutional investors have been selling risky assets to participate in the SpaceX offering. He believes the IPO could absorb more capital from the market, acting as a short-term bearish factor. Conversely, CEX.IO senior analyst Illia Otychenko projected that if SpaceX experiences a strong rally on its first day of trading, the profits secured could flow back into the cryptocurrency market. Many experts predict that the market's future direction will be signaled by whether SpaceX can maintain its stock price post-listing and whether the current trend of outflows from spot crypto ETFs subsides. In its IPO filing, SpaceX disclosed that it holds 18,712 BTC. For comparison, Tesla (TSLA) holds 11,509 BTC.