---
title: "Micron Stuck in a Bear Market: Will it Rebound or Crash Further?"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/293829650.md"
description: "Micron Technology (MU) has entered a bear market, dropping over 26% from its yearly high amid profit-taking and concerns over AI spending sustainability. Despite the sell-off, Wall Street analysts remain optimistic, with consensus price targets suggesting significant upside potential. Micron's recent earnings showed a 300% revenue jump to $41.4 billion, driven by AI demand. However, technical indicators like a head-and-shoulders pattern and falling RSI suggest near-term downside risks if the stock falls below the $850 neckline."
datetime: "2026-07-25T18:43:16.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/293829650.md)
  - [en](https://longbridge.com/en/news/293829650.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/293829650.md)
generator: "portal-rs"
---

# Micron Stuck in a Bear Market: Will it Rebound or Crash Further?

**Micron Technology** (NASDAQ:MU) stock has entered a bear market after plunging more than 26% from its highest level this year. The sell-off has coincided with a broader retreat in memory stocks as investors take profits and concerns grow about the sustainability of AI spending.

## Micron Stock Has Retreated Amid Rising Concerns About AI Spending

MU stock has plunged more than 26% from its highest level this year, joining a broader sell-off across the memory sector. Other leading memory stocks, including **SanDisk** (NASDAQ:SNDK) and **Western Digital** (NASDAQ:WDC), have also retreated sharply. Meanwhile, the **Roundhill Memory ETF** (CBOE: DRAM) has fallen 34% from its highest point of the year.

The options market is not sending a clear signal about Micron’s near-term outlook. Data shows that implied volatility has climbed to about 99%, indicating that investors expect heightened price swings. Meanwhile, the put-to-call ratio stands at 1.19, suggesting a modest bearish or hedging bias rather than aggressive bearish positioning.

 **Read Also: Shiba Inu Fights Back to Top 31: Is It Safe to Buy SHIB Now?** 

Wall Street analysts are optimistic that Micron has more upside to go. Benzinga data shows that the consensus target for the stock is $1,268, up by 37% from the current level. DA Davidson’s Gil Luria boosted the target from $1,500 to $2,000. Needham hiked its target from $1,550 to $1,650. 

Micron’s business is thriving, helped by the rising demand for its products amid the artificial intelligence boom. Its recent results showed that its third-quarter revenue jumped by over 300% to $41.4 billion, with management predicting that it will hit $50 billion in the fourth quarter.

There are also signs that memory demand is rising. In its earnings this week, **Alphabet** (NASDAQ:GOOG) boosted its capital expenditure spending to over $205 billion. **Tesla** (NASDAQ:TSLA) also expects to spend $25 billion this year. 

## Micron Needs to Overcome Key Technical Hurdle

![Micron stock](https://imageproxy.pbkrs.com/https://editorial-assets.benzinga.com/wp-content/uploads/2026/07/25140531/Micron-Stock-1024x567.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg)

*MU stock chart | Source: TradingView*

Despite the optimism, Micron stock needs to overcome the emerging head-and-shoulders pattern. This pattern is made up of a head, two shoulders, and a neckline. In this case, the neckline is at $850.

The Relative Strength Index (RSI) has continued falling, moving from a high of 86 in May to 45 today. Therefore, there is a risk that it will continue falling in the near term. This view will be confirmed if it drops below the neckline of $850.

 **Read Also: Billionaire Investor Dumps Thermo Fisher, Cuts Danaher As He Pares Life Sciences Tools Bets** 

*Image: Shutterstock*

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## Related News & Research

- [Micron Technology Is Ramping Up Production of High-Bandwidth Memory. Here's Why That Could Send the Stock to New Heights This Year](https://longbridge.com/en/news/298934681.md)
- [Micron Stays Flat as 68-Month Bonuses Fail to End Strike Risk](https://longbridge.com/en/news/298760081.md)
- [Memory Is the New ‘King’ of Chips, Taking Over 50% of Semiconductor Revenue, Susquehanna Says](https://longbridge.com/en/news/298476095.md)
- [Turner Financial Group Inc. Takes Position in Micron Technology, Inc. $MU](https://longbridge.com/en/news/298824862.md)
- [Micron's Taiwan workers to get rewards worth up to 68 months of pay](https://longbridge.com/en/news/298667603.md)

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**