Cipher Digital Inc. (NASDAQ:CIFR) shares rose nearly 10% on Wednesday, tracking a broader rally in AI infrastructure and data center stocks, with CoreWeave Inc. (NASDAQ:CRWV) emerging as a key sector catalyst. Meanwhile, the Invesco QQQ Trust was up 2.5% and the SPDR S&P 500 ETF Trust was up 1.2%, reflecting broader strength in the equity market.
CoreWeave, the specialized artificial intelligence cloud infrastructure provider, published third-quarter financial results on Tuesday. The company reported $3.66 billion in third-quarter revenue, reflecting a 168% increase year over year, while active power surpassed 1.7 gigawatts. CoreWeave management highlighted a total revenue backlog of $132.5 billion, signaling substantial multi-year commitments from enterprise customers across the computing sector.
CoreWeave Backlog Drives Momentum
CoreWeave raised its full-year revenue guidance to between $13 billion and $13.3 billion. Company leadership projects an annualized run-rate revenue of $20 billion to $21 billion by the end of 2026. Management also announced plans to collect approximately $9 billion in customer deposits and upfront cash prepayments during the next three months. According to the company, more than $3 billion of that total stems from recontracting existing infrastructure.
Technical Analysis
Even after Wednesday’s pop, CIFR is still trading about 10% below its 20-day simple moving average ($7.98), and it remains far below longer-term trend gauges like the 50-day ($12.89) and 200-day ($17.36). That "under all the key averages" setup keeps the bigger-picture trend bearish, and it explains why rallies often run into overhead supply quickly.
From a structure standpoint, the bearish backdrop is reinforced by the death cross that formed in September (the 50-day SMA below the 200-day SMA). The stock also put in a swing low in November near its 52-week low zone ($5.07), so traders will be watching whether this bounce can build a higher low rather than fading back into that area.
- Key Resistance: $7.98 — aligns with the 20-day SMA, a nearby "line in the sand" for short-term trend control
- Key Support: $5.07 — the 52-week low zone from November, a key reference if the bounce fails
CIFR Price Action: Cipher Digital shares were up 9.88% at $7.18 at the time of publication Wednesday, according to Benzinga Pro data.
Photo: Pixel Media Design / Shutterstock