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I agree with everything you said. Just want to add one more point: > Reddit can't keep the stock high forever with a never-ending stream of buyers If keeping
by nrmitchi 6y ago
I agree with everything you said. Just want to add one more point:
> Reddit can't keep the stock high forever with a never-ending stream of buyers
If keeping the price high is dependent on a never-ending stream of new buyers, you've devolved into a ponzi-scheme.
The fact that retail brokerages temporarily limiting new buyers "caused the price to crater" speaks at least a little bit to this interpretation as well.
- PragmaticPulp 6y agoAt this point, it's almost indistinguishable from a pump-and-dump. WSB is pushing every narrative they can come up with to convince Redditors that they should buy! buy! buy! Meanwhile, earlier Redditors are selling off their positions so they can take some profits.
- risyachka 6y agoI agree with you, but how it this different from large companies that publish their target prices or reports that cause people to buy/sell stock and in the end its the same - those who were in good position before report have gains and those who came later lose money? To me it looks pretty much identical, and that has been around since the very beginning of wall street.
- ric2b 6y ago> If keeping the price high is dependent on a never-ending stream of new buyers, you've devolved into a ponzi-scheme. Not buyers, holders. The buyers are guaranteed for a while due to the short interest. > The fact that retail brokerages temporarily limiting new buyers "caused the price to crater" speaks at least a little bit to this interpretation as well. It cratered and then rocketed back up within the hour. GME has been super volatile and yeah, cutting off the people interested in buying is going to temporarily lower demand which lowers the price, no surprise there.