Michael Saylor’s STRC stock has made headlines this week as its implosion gained momentum amid the ongoing crypto market weakness. The Variable Rate Series A Perpetual Stretch Preferred Stock plunged from the par level of $100 to a record low of $72.60. Sadly, it is not the only crypto-related preferred stock that is imploding this week.

STRC, BMNP, and SATA stocks are plunging

The ongoing woes in the STRC stock price has spread to other similar assets. For example, the recently launched BitMine Immersion Technologies 9.5% Series A Perpetual Preferred Stock (BMNP) has slumped in all trading days. 

It ended the day at $81.40 from the monthly high of $92. This retreat is one of the top reasons why the BitMine stock price continued falling, reaching a low of $13. At its peak in 2025, the stock was trading at $160 as investors cheered its evolution from a Bitcoin mining company into an Ethereum accumulation one.

Meanwhile, Strive’s Variable Rate Series A Perpetual Preferred Stock (SATA) plunged to $83.53. Strive is an asset management company that was started by Vivek Ramaswamy, the healthcare billionaire. It is one of the top Bitcoin accumulation companies.

Other preferred stocks by Strategy have also imploded in the past few days. This includes stocks like STRK, STRD, and STRF. 

Crypto market weakness and need to raise cash

The ongoing retreat of preferred stocks is happening as the crypto market crash intensifies. Bitcoin dropped to $58,000 from a record high of $126,300, while Ethereum has slumped from nearly $5,000 to $1,500 today. 

The ongoing crypto market crash has led to billions of dollars in unrealized losses among these companies. Most of them have even seen their market net asset value (mNAV) drop below 1.

Therefore, there are concerns that the companies will need to raise cash to continue paying their dividends. Also, they may be forced to either pause or end their Bitcoin and Ethereum accumulation approach.

Strategy raised $300 million in cash last week by selling shares and diluting its shareholders. It now has $1.4 billion in cash, which is not enough to cover its dividend payouts for a year.

Strive has insisted that it has a two-year cover to pay its dividends, while BitMine has $601 million in cash and marketable securities and no debt. 

A major red flag in the industry happened a few months ago when Strategy changed its long-standing policy that it would never sell its Bitcoins. It made its first sale a few weeks ago, and this process may continue over time. If this happens, it will be selling at a loss s the average Bitcoin buying price was $68,000.

The hope among Tom Lee, Michael Saylor, and Ramaswamy is that the crypto market crash will end soon. Such a move will boost the value of their assets and boost confidence among investors.

The challenge, however, is that the crypto market is competing with stocks, which are in a prolonged bull run. As a result, investors have continued to dump crypto ETFs and rotating to stocks. For a crypto recovery to happen, a reversal in the stock market will need to happen.

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Shares of Rocket Lab (NASDAQ: RKLB) climbed in premarket trading after the space company announced that NASA had selected its Electron launch vehicle for two Earth and solar science missions.

The missions, known as Polarized Submillimeter Ice-cloud Radiometer Satellite (PolSIR) and Total and Spectral Solar Irradiance Sensor-2 (TSIS-2), will launch from Rocket Lab’s Launch Complex 1 in Mahia, New Zealand.

The awards fall under NASA’s Venture-Class Acquisition of Dedicated and Rideshare (VADR) program, a contract vehicle with a potential value of up to $300 million over a 10-year period.

NASA selects Electron for Earth and solar science missions

The PolSIR mission is designed to improve scientists’ understanding of tropical and subtropical ice clouds.

The project involves two small CubeSat satellites that will measure how these clouds interact with sunlight and heat.

Researchers expect the data to help improve climate and weather forecasting models.

Rocket Lab said the PolSIR project will require two dedicated Electron launches beginning no earlier than June 2027.

The TSIS-2 mission is scheduled for early 2027 and will launch on a separate Electron mission.

The project aims to measure the total amount of solar energy and the different wavelengths of sunlight reaching Earth.

According to NASA, the information gathered from TSIS-2 will help researchers track changes in weather patterns, ocean currents, and seasonal variations.

Both missions will launch from Rocket Lab’s New Zealand facility, reinforcing the company’s role as a provider of dedicated launch services for scientific payloads and small satellites.

Electron remains the company’s primary launch vehicle

Electron is Rocket Lab’s small orbital launch vehicle designed specifically for small satellite deployments and science missions.

The company said Electron has completed nearly 90 missions and deployed more than 260 satellites into orbit as of June 2026.

Earlier this week, Rocket Lab highlighted the efficiency of its manufacturing operations, noting that its Electron production system is currently capable of providing a new rocket approximately every 11 days.

The production pace supports Rocket Lab’s strategy of offering responsive and frequent launch services to commercial and government customers.

The latest NASA awards add to Electron’s growing list of scientific and government missions and demonstrate continued demand for dedicated small-launch capabilities.

Neutron development continues as delays persist

While Electron remains the company’s operational workhorse, Rocket Lab continues to develop its larger Neutron launch vehicle.

Neutron is intended to expand Rocket Lab’s capabilities beyond the small satellite market and allow it to compete for larger payload missions.

However, development of the rocket has encountered several delays and has yet to complete its inaugural flight.

The vehicle was originally slated to make its first launch in 2025.

Until Neutron becomes operational, Electron remains Rocket Lab’s sole active launch vehicle and the company’s primary source of launch services revenue.

Investors appeared to welcome NASA’s latest selection of Electron, with the stock gaining ground as the awards further strengthened Rocket Lab’s position in the growing market for dedicated science and small satellite missions.

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The Vanguard S&P 500 ETF (VOO) stock has pulled back in the past seven consecutive days and is hovering at its lowest level since June 11. There is a risk that the recent stock market rally is about to take a breather. 

S&P 500 Index has fallen despite some major good news

The S&P 500 Index and its top ETFs, like VOO and SPY have pulled back despite some good news, including the recent US-Iran deal that has pushed crude oil pricesmuch lower than where they were a few months ago. Brent has dropped to $70, while the West Texas Intermediate (WTI) has moved to $69.

The falling oil prices are beneficial to the stock market because of its impact on consumer and producer inflation. Data released on Thursday showed that the headline PCE rose from 3.8% to 4.1% in May, moving higher than the 2% target. 

As such, with energy, metals, and fertilizer prices falling, there is hope that inflation will drop. This explains why the odds of the Federal Reserve hiking interest rates this year have dropped substantially in the past few days.

There are signs that corporate earnings are gaining momentum. A report released this week showed that Micron’s revenue jumped by over 300% in the last quarter, and the management believes it has more gains to go. 

Data compiled by FactSet shows that the average earnings growth for the second quarter is 22%. Historically, the real number is usually much higher than the estimates. For example, the estimate for the first quarter was 12%, and the real figure came out at 28%, the highest level in years.

Additionally, there are signs that the index is highly undervalued, with the forward price-to-earnings ratio being 22. While this is higher than the five-year average of 19, the index is seeing stronger revenue growth than it had in this period.

Potential risks may drag the VOO ETF stock in the near term

There is a risk that the S&P 500 Index will retreat in the coming weeks. One of the risks is that the current gains are being led by the memory industry. Sandisk stock has jumped by 855% this year, while Micron, Western Digital, and Seagate have soared by over 263%. 

The other top gainers this year are companies like Intel, Marvell, Dell, Corning, Applied Materials, and AMD. All these stocks have jumped because of the role in the artificial intelligence (AI) industry. They are all suppliers to hyperscalers like Microsoft, Meta Platforms, and Google.

The risk is that these companies will reverse if demand from hyperscalers starts falling. This is a possible thing since most of them have plunged in the past few weeks. Microsoft stock has dropped by 36% from its highest point in July last year, while Amazon has fallen by 18%. Google has fallen by over 15% from the year-to-date high.

VOO stock price technical analysis

Vanguard S&P 500 ETF | Source: TradingView

Technicals suggest that the VOO stock price may drop further in the near term. It has dropped below the 25-day Exponential Moving Average (EMA). 

A closer look shows that the fund formed a double-top pattern, a common bearish reversal sign. Also, it has formed a bearish divergence pattern as the Relative Strength Index (RSI) and the MACD have continued falling.

Therefore, the stock will likely continue falling as sellers target the 100-day moving average of $655. This retreat will likely happen before the earnings season starts and will be followed by more gains.

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US stocks opened lower on Friday as investors continued to rotate out of technology stocks, with chipmakers facing renewed selling pressure despite strong recent earnings and upbeat demand forecasts.

The Dow Jones Industrial Average was down 207 points points while the Nasdaq Composite dropped 0.95%. The S&P 500 declined 0.61%.

The latest weakness comes after a strong quarter for semiconductor stocks, as investors increasingly question lofty valuations and the sustainability of heavy spending on artificial intelligence infrastructure.

Chip stocks slide despite strong earnings

Semiconductor stocks led the premarket declines. Shares of Micron Technology fell more than 5.8% after soaring over 15% in the previous session following better-than-expected quarterly results and forecasts.

Advanced Micro Devices and Intel each declined more than 3.5%, while Nvidia lost about 1.7%. Oracle also dropped 0.38%.

The selloff reflects growing investor concerns about who ultimately bears the costs associated with massive investments in artificial intelligence infrastructure.

A New York Times report that OpenAI is considering delaying its initial public offering until next year also weighed on sentiment.

The report raised concerns about “sustainability of their infrastructure spending given the delay in funding from the capital markets,” wrote JPMorgan traders in a note.

Technology shares had already come under pressure in Thursday’s session.

Apple plunged 6% after announcing price increases for iPads and MacBooks due to rising memory and storage costs. Microsoft also declined after raising prices on its Xbox gaming consoles.

Apple recovered modestly on Friday, rising about 0.7%.

Inflation concerns and rate fears add pressure

The market’s concerns extend beyond technology spending. Fresh inflation data and changing expectations for Federal Reserve policy have also weighed on sentiment.

Data released on Thursday showed US inflation climbed above 4% in May for the first time in three years, driven by higher energy prices linked to tensions in the Middle East.

Although oil prices have recently retreated as geopolitical tensions eased, investors remain concerned that higher semiconductor costs could once again fuel broader inflationary pressures.

Interest rate concerns remain elevated, with traders pricing in one 25-basis-point rate increase and a nearly 27% chance of another hike before year-end, according to LSEG data.

Global technology selloff spreads across markets

The weakness in technology stocks extended beyond the United States.

SoftBank Group, a major backer of OpenAI, plunged more than 12% in Asia.

South Korea’s Kospi dropped 5.81%, while Japan’s Nikkei 225 declined 4.15%. Hong Kong’s Hang Seng Index and China’s CSI 300 also posted losses.

European stocks moved lower as well, with the pan-European Stoxx 600 falling 1%.

Among individual movers, Synaptics fell 0.95% after ON Semiconductor agreed to acquire the company in an all-stock deal valued at about $7 billion. Shares of ON Semiconductor fell 19.42%.

Investors are also preparing for heavy trading activity tied to Russell index changes, including the reclassification of several megacap stocks and the fast-track addition of SpaceX to the Russell 1000.

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Micron Technology’s MU shares fell sharply on Friday, giving up part of the gains recorded earlier in the week despite the memory chipmaker reporting stronger-than-expected quarterly results.

The stock declined nearly 5% in premarket trading as weakness spread across the broader semiconductor sector.

Other US chipmakers also traded lower, with Intel down just over 3%, Sandisk falling 5%, Arm shedding 4%, and Marvell declining 3.7%.

The decline came as investors remained cautious about the rising costs associated with artificial intelligence infrastructure, triggering a broader sell-off across global semiconductor stocks.

Semiconductor stocks under pressure worldwide

The weakness extended beyond the United States.

In Europe, ASML fell 2.2%, Infineon declined 3.7%, ASM International lost 2.8%, ST Microelectronics dropped 3.3%, and Be Semiconductor slipped 2%.

In Asia, Japanese conglomerate SoftBank led regional losses, plunging more than 12%.

The broader pullback followed a strong rally in AI-related semiconductor companies, even as Micron delivered robust financial results and issued an optimistic outlook.

Revenue beats expectations

MU reported third-quarter revenue of $41.46 billion, compared with $9.3 billion in the same period a year earlier.

The result exceeded analysts’ expectations.

Adjusted earnings reached $25.11 per share on revenue of $41.5 billion, representing a 346% year-on-year increase.

Adjusted gross margin stood at 85%, while adjusted operating margin reached 81%.

The company also projected revenue of around $50 billion for the current quarter, compared with $11.3 billion in the corresponding period last year.

Micron also said customers had committed $22 billion to secure future memory chip supply.

Following the earnings announcement on Wednesday, Micron’s shares surged more than 15% in a single session.

The stock has gained approximately 863% over the past year.

Micron overtakes Meta briefly in market capitalisation

The rally briefly pushed Micron ahead of Meta Platforms and close to Tesla in terms of market capitalisation on Thursday.

Micron’s market value had peaked at $1.398 trillion on Thursday’s session compared with Meta Platforms at $1.392 trillion.

Tesla stood at around $1.4 trillion.

Micron currently has a market capitalisation of $1.37 trillion.

The company first crossed the $1 trillion market valuation mark on May 26, joining a group of semiconductor companies benefiting from investor enthusiasm surrounding artificial intelligence infrastructure.

Micron said second-quarter revenue quadrupled as demand for memory chips continued to outpace supply.

The company described the market as being supported by a demand-driven chip shortage that it expects to continue beyond 2027, marking a change from earlier expectations that supply constraints would ease sooner.

Micron now has 16 long-term chip supply agreements in place.

Growth was primarily driven by the company’s two data-centre business segments, which together generated $25 billion in revenue, up 415% from a year earlier.

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