Another comment cited an SEC report that concluded that most of the price movement wasn't related to shorts being closed: https://news.ycombinator.com/item?id=3

Another comment cited an SEC report that concluded that most of the price movement wasn't related to shorts being closed: https://news.ycombinator.com/item?id=30177747 https://news.ycombinator.com/item?id=30177747 Admittedly I am not sure that's directly related to the theory being referenced by you and OP as I am hazy on all the historical discussions.