Alphabet stock price forecast: Bullish impact of Wiz acquisition
Alphabet (GOOGL) trades at $135 with bullish momentum in 2025.
As of March 19, 2025, Alphabet Inc. (GOOGL) is trading at approximately $135 per share.
The stock has shown consistent upward momentum since the beginning of the year, reflecting positive investor sentiment. Recent price action suggests that Alphabet remains in a bullish trend, supported by favorable technical indicators.
Key support levels are currently identified at $130 and $125, providing a cushion against any short-term pullbacks. Resistance levels are noted at $140 and $145, with the stock recently testing the $140 mark before retreating slightly. If the stock breaks above this level, it could open the door for further gains toward the $145 level.
GOOGL stock price dynamics (January 2025 - March 2025). Source: TradingView.
The Relative Strength Index (RSI) is currently at 65, indicating that Alphabet is approaching overbought territory but remains within a range that supports further gains. The Moving Average Convergence Divergence (MACD) indicator shows a positive divergence, reinforcing the bullish trend as the MACD line remains above the signal line. Overall, the technical outlook points to continued strength, though some profit-taking near resistance levels is possible.
Market context: Wiz acquisition and competitive positioning
Alphabet's recent agreement to acquire cybersecurity firm Wiz for $32 billion marks its largest acquisition to date. Wiz specializes in scanning cloud storage for security risks and has established itself as a leading player in the cloud security sector. The deal positions Alphabet to strengthen its Google Cloud services, particularly in the competitive cloud security space,where it trails behind Microsoft Azure and Amazon Web Services.
Wiz will maintain its brand identity and continue operating independently, including maintaining collaborations with other cloud providers like Microsoft and Amazon. This independence is expected to minimize potential conflicts and ensure that Wiz remains competitive across the broader cloud market. The acquisition also signals Alphabet's strategic push to diversify revenue streams beyond its core advertising business, where growth has been slowing due to regulatory pressures and market saturation.
Industry analysts view the acquisition positively, as it enhances Alphabet’s competitive edge in the growing cybersecurity market. Global spending on cloud security is projected to increase significantly over the next five years, making this a timely and strategic acquisition. However, the deal is likely to attract regulatory scrutiny, particularly from US and European competition authorities, which could delay the finalization process.
Price prediction and scenarios
Considering the current technical indicators and the positive market sentiment surrounding the Wiz acquisition, Alphabet’s stock appears positioned for further appreciation in the short term. If the stock breaks above the immediate resistance level at $140, it could quickly move toward the next resistance at $145. A successful breach of the $145 level would likely lead to increased buying interest, pushing the stock toward the $150 mark in the coming weeks.
Conversely, if the stock faces selling pressure or market-wide weakness, support at $130 is expected to hold. In a more bearish scenario, a break below $130 could see the stock testing the next support level at $125. However, the overall bullish trend remains intact as long as Alphabet stays above the 200-day MA of $120.
In February, Google CEO Sundar Pichai announced that Alphabet plans to invest approximately $75 billion in capital expenditures in 2025 to accelerate its artificial intelligence offerings. This represents a 43% increase from 2023 and underscores the company’s commitment to innovation despite recent market volatility and competitive pressures.
