TeraWulf ($WULF) has significant short interest (~39-43% of float) that may be misjudging the company's pivot toward AI/HPC power infrastructure with major contracts (Anthropic, Muskie campus expansion). The thesis argues shorts are piling in despite strong execution and analyst support (TD Cowen $21 target), setting up a potential squeeze, though execution risk and dilution concerns remain.

Trader experienced a $500k swing on WULF stock, going from +$200k to -$300k despite bullish catalysts (power expansion and CEO tweets). Despite the losses, they doubled down with 60k additional shares, maintaining conviction in the play but acknowledging upcoming volatility.

WULF is down 50% from June highs despite improving fundamentals including Anthropic's $19B+ lease deal, approved 482 MW power capacity, revenue-generating 102 MW at Lake Mariner, $3B cash on hand, and pipeline targets of 1-2 GW. Key risks include execution delays on new campus builds, broader market sentiment toward crypto/AI infrastructure, and power availability constraints.