IREN Shares Plunge 55% from Year-to-Date Peak Due to Concerns Over AI Bubble

IREN Stock Decline: IREN's stock price has plummeted over 55% from its peak of $76 in November, currently trading at $35, marking its lowest level since September amid concerns over the AI bubble.

Impact of Earnings Reports: The decline accelerated following disappointing earnings reports from major AI companies like Oracle, which reported negative cash flow, contributing to a broader market downturn in AI-related stocks.

Funding and Competition: IREN recently raised over $2 billion to strengthen its position in the AI sector, but faces increased competition from other companies, which may impact its pricing power and margins.

Bitcoin Price Pressure: The stock's performance is also tied to Bitcoin's price, which has dropped significantly, affecting IREN's revenue as it relies heavily on Bitcoin mining. Technical analysis suggests a continued bearish trend unless it surpasses key resistance levels.