IREN shares have staged a sharp recovery, with the stock rising 15% on January 27 to its highest level since November 10. The move left the stock about 80% above its low from December last year. Traders are focusing on three factors at once: stronger sentiment around AI infrastructure, expectations for new customer wins, and growing optimism before the company’s next earnings report.
Nvidia-backed funding adds to AI infrastructure optimism
One catalyst came from rival CoreWeave, which secured an additional $2 billion investment from Nvidia this week. That deal made Nvidia one of its major investors and reinforced the market view that demand for AI data centers is still expanding. For companies tied to compute infrastructure, that kind of capital flow matters. It suggests buyers are still willing to spend heavily on capacity.
Analysts have also pointed to speculation that IREN could land a large customer in the coming weeks or months. One company mentioned is Anthropic, which is reportedly raising $20 billion at a $350 billion valuation. No new contract has been announced, but the possibility of another large AI customer has added to the stock’s momentum.
Microsoft deal remains a key reference point
IREN’s first major deal arrived last year when Microsoft selected its services in a contract valued at $9.7 billion. Since then, the market has been watching whether other large technology groups may also use its data center capacity. The report names Anthropic, Amazon, and Meta Platforms as possible future customers. That expectation, even without confirmation, has been enough to keep attention on the stock.
Wall Street turns more bullish before earnings
Analyst sentiment has improved noticeably ahead of results. Mike Colonnese of HC Wainwright upgraded IREN from sell to buy and lifted his price target to $80. Greg Miller of JMP Securities also sees the stock reaching $80, while Joseph Vafi raised his target to $70.
Revenue estimates have also moved higher. According to data compiled by Yahoo Finance, expected revenue for the upcoming reporting period stands at $227 million, up 90% from the same period in 2024. The average estimate for the current quarter is $280 million, also implying 90% growth. Full-year revenue is projected at $1.15 billion, followed by $2.7 billion. Those forecasts explain why the stock has attracted buyers ahead of earnings.
Bitcoin strength still matters for IREN
The rally in IREN has also coincided with a rebound in Bitcoin. BTC rose for three consecutive days and reached 90,000. That remains relevant because most of IREN’s revenue still comes from Bitcoin mining. A stronger BTC price tends to improve the earnings outlook for miners quickly, and that effect can feed directly into equity valuations.
Technical setup points to the prior high
On the daily chart, IREN has recovered from a $33.54 low in December to around $60. The rebound followed the formation of an inverted head-and-shoulders pattern, a commonly watched bullish reversal setup. The stock has stayed above its 50-day and 100-day exponential moving averages and above the Supertrend indicator, while also moving past the upper boundary of the Murrey Math Lines trading range.
The Average Directional Index has continued to rise and is now at its highest level since November, pointing to sustained momentum. Based on the technical view cited in the report, traders are watching the all-time high near $76 as the next key level, which would represent nearly 30% upside from the current price area.