CRWV needs to hold $60 to have a chance to rebound to $75 to $80; despite a slight recovery, the market remains cautious. An analyst kept a neutral rating but cut the target to $89 from $107 on debt concerns: about $50 billion in obligations, widening credit spreads and bonds yielding 15 to 16%.

We have been watching CoreWave as it makes a slight recovery, not enough to regain everything it lost last week, but what do you think? Yes, I would say from a technical point of view, you are looking for the $60 level to actually hold for CoreWave, which is the level at which we saw some buyers step in on Thursday.

Unfortunately, we saw that reversal on Friday, but we are once again trading around the $60 level.

Now, we have Mattie Natsson effectively lowering its price target for the stock to $89 from $107, while maintaining its neutral rating on the stock.

The concern is clearly about debt, and the company does not currently believe that CoreWave is about to collapse, noting that the company still has several financing options available, although they may not be attractive.

They also warn that CoreWave has incurred enormous financial obligations, and it will ultimately depend on the capital markets how well it is able to manage these debts going forward.

We know that CoreWave carries debts of around $50 billion, according to Elsig, and you see borrowers in the credit markets demanding higher returns.

Last week, the underlying situation, particularly on Monday, was that credit spreads were widening considerably, and we saw some bonds yielding around 15 to 16%, which is very high for a name like CoreWave.

So, this is the source of the current pressure, and we are now seeing a slight recovery, but you need to be able to hold the 60 level. If you can hold that, and hold on a little more, maybe you can get back to the $75 to $80 level again.

The market seems to still be a bit cautious about this stock despite today's good recovery.