Nvidia stock stabilizes at $187 amid deeper CoreWeave investment

Traders Union
All News
Financial News
Nvidia stock stabilizes

Highlights

Nvidia has invested an additional $2 billion in CoreWeave to secure AI cloud capacity and strengthen its infrastructure ecosystem.
The stock is trading near $187, consolidating above key support levels with limited short-term momentum.
Investors are closely watching upcoming earnings for confirmation of continued data center growth and AI demand.

The broader trend remains bullish, with Nvidia maintaining a firm position above both its 50-day and 200-day moving averages, which sit near $174.50 and $150.20, respectively. These levels underscore sustained investor conviction in Nvidia’s long-term AI-driven growth narrative. However, short-term indicators such as the Relative Strength Index (RSI) are showing a neutral reading around 52, suggesting limited momentum in either direction at present.

Volume patterns have also moderated compared to earlier in January, reflecting a market waiting for the next fundamental catalyst. A clean break above $195 would likely reaccelerate the uptrend, targeting resistance levels at $205 and eventually retesting the all-time high near $212. Conversely, any weakness below the $180 mark could open the door for a decline toward $170, where previous buyers may step in.

Nvidia stock price dynamics (November 2025 - January 2025). Source: TradingView

Despite the current consolidation, options market activity shows a tilt toward bullish positioning, with open interest concentrated in call contracts around the $190 and $200 strikes expiring in February. Implied volatility remains elevated relative to historical averages, suggesting that traders are positioning for a directional move in the near term — likely tied to Nvidia’s upcoming earnings release. This positioning, combined with relatively low realized volatility over the past two weeks, points to a potential breakout scenario once fresh catalysts emerge.

Strategic investment deepens Nvidia’s vertical integration in AI cloud compute

Nvidia made headlines with the announcement of a fresh $2 billion equity investment in CoreWeave, a fast-growing cloud infrastructure company specializing in AI workloads. The purchase was made at $87.20 per share for CoreWeave’s Class A stock.

This investment is more than a passive financial stake. Nvidia and CoreWeave are tightly intertwined, with CoreWeave committing to over $5 billion in Nvidia GPU purchases over multiple years, and Nvidia locking in preferred access to CoreWeave’s compute capacity via long-term cloud service agreements. The relationship is geared toward building out more than 5 gigawatts of AI factory capacity by 2030, including hyperscale data centers optimized for Nvidia’s next-generation chips.

At the heart of this strategy is Nvidia’s Rubin architecture, which succeeds the current Hopper line. The Rubin platform includes the new Vera CPU and NVLink 6 interconnect, promising faster training speeds and lower latency for large language models and inference workloads. Industry analysts view this as a direct move to extend Nvidia’s lead in high-performance AI computing while cementing customer reliance on its end-to-end ecosystem.

Market awaits earnings confirmation of AI narrative

Looking ahead, Nvidia’s short-term price trajectory will be shaped by both technical triggers and fundamental developments — primarily its upcoming earnings release scheduled for late February. The market is expecting continued revenue acceleration from Nvidia’s Data Center segment, which grew 279% year-over-year last quarter, driven by surging demand for H100 chips across hyperscalers and enterprise AI platforms.

A strong earnings print could send NVDA above resistance at $200, with a bullish breakout paving the way toward a retest of $212.58. If this level is breached, Nvidia could enter price discovery toward $225 in Q1 2026, assuming robust guidance and limited supply chain friction. On the downside, a miss on GPU volume or margin compression could drag shares toward $175–$180, especially if paired with macro risk-off sentiment.

Chinese tech giants such as Alibaba, Tencent, and ByteDance have been granted approval to prepare orders for Nvidia’s H200 chips, signaling a regulatory shift. This reverses earlier reports from January that Chinese authorities had blocked the shipments over national security concerns.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.