Frenzy around SpaceX: Korean retail investors bought SPCX for $796 million on the first day
South Korean retail investors demonstrated an unprecedented appetite for SpaceX (SPCX) shares on the very first day of trading. On June 12, the net purchase volume reached $795.9 million — an absolute record for U.S. securities on the local market in a single session.
For comparison: over the previous three months, Koreans invested $748.3 million in Micron Technology (MU) shares, $696.2 million in the Nasdaq 100 ETF (QQQ), and $694.5 million in Marvell Technology (MRVL) securities. SpaceX surpassed each of these positions in just one day. A total of 14 million retail investors participated in the buying spree, making SPCX the most popular foreign stock in Korea's history.
Scale of Demand and Market Structure
In addition to direct stock purchases, retail investors have poured an additional $301 million into an exchange-traded fund (ETF) linked to SpaceX over the past month. This underscores the massive scale of interest in Elon Musk's space company. In essence, Korea's entire retail market has concentrated on a single asset.
Notably, local investors were effectively cut off from participating in the IPO itself — the largest in history. Therefore, after the listing, they compensated by aggressively buying on the secondary market, creating a unique precedent for capital concentration.
Risks and Analyst Warnings
However, not all market participants share the optimism. Analyst Crypto Rover warns that the situation with SpaceX could become the largest "exit liquidity" event in market history. According to his assessment, SPCX shares have risen 70% from the IPO price, but only about 4% of the shares are in free float. The remaining 96% are locked up.
Passive funds are forced to buy shares to track indices, while insiders are preparing to unlock and sell their stakes as early as July–August. Crypto Rover believes that retail investors, thinking they are buying into the future of the space industry, may actually be funding the largest "insider exit" of the entire cycle.
The key question is how quotes will behave after the unlocking begins. If demand persists, seller pressure may be offset. But if interest wanes, the correction could be severe. For now, the market is exhibiting a classic FOMO pattern against a backdrop of limited supply.
My conclusion: The SPCX story is a vivid example of how retail frenzy and liquidity shortages create an illusion of endless growth. Investors should remember that behind every rally on a low free float lies the risk of a sharp reversal when real supply emerges. Diversification and composure are more important here than chasing the "future."