By Noel Randewich July 16 (Reuters) - The dip in SpaceX's shares below its blockbuster IPO price of $135 a share is an ominous sign for Elon Musk's internet and rocket company as it faces more potential volatility in early August,

SpaceX dipped below its IPO price this week. The bears says it reinforces their view that the stock was overvalued and that more pain may be coming.

The space business centers on launch cadences from the Starship system, Starlink's connectivity network provides low-orbit broadband, and the company offers AI infrastructure by leasing compute capacity and developing new frontier models.

SpaceX's Starship is pivotal for its investment narrative, with the upcoming 13th test flight on July 16 critical as SPCX stock has fallen 30% since its June 12 launch.

SpaceX launched the world's biggest initial public offering -- an operation that was largely oversubscribed -- and went on to see high demand in its first days of trading. From its offer price of $135 to its peak of $225 on June 16,

SpaceX talks a lot about solar power, but for now it's guzzling gas.

TerraFirma on Tuesday said it raised $115 to support new hires and the building of a new factory and mission control center.

SpaceX stock fell 38% from its June peak to a record low near $139. Raymond James sees $800 while bears call it a bubble. Here's what investors should watch.