You're not understanding my argument. Right now the stock price propped up by people constantly buying it. If people stop buying it, the price will stagnate at where it was i.e. drop because it's overvalued because of speculation. If the price starts to drop, people will most likely panic sell in order to make sure they don't lose money, in which case the selling will accelerate the price drop, causing the stock to become undervalued, and THEN big investors will drop all at once. The problem isn't that investors will sell all at once, it's that the stock buyers think they can beat out the big investors by forcing them to buy at an artificial high, but you can hold a short position indefinitely, and the buyers have to keep buying in order to prop up the price, whereas there is no opportunity cost for the big investors to hold their short position until this idiotic charade ends.
Yeah, I used stagnate incorrectly there. I want to specify that what will most likely happen is that after people realize that they can’t get any more people to buy the stock (because the long term price is dubious), people will start to sell over time. It might even be true that some people will short the stock AGAIN because it’s so high. Whatever the case is for management at GameStop, nothing it’s been doing could warrant a tripling in common stock value over 10 days. In the end the only people making profit are the shorters who held or started now and the people who bought and sold the stock already.
You're not understanding my argument. Right now the stock price propped up by people constantly buying it. If people stop buying it, the price will stagnate at where it was i.e. drop because it's overvalued because of speculation. If the price starts to drop, people will most likely panic sell in order to make sure they don't lose money, in which case the selling will accelerate the price drop, causing the stock to become undervalued, and THEN big investors will drop all at once. The problem isn't that investors will sell all at once, it's that the stock buyers think they can beat out the big investors by forcing them to buy at an artificial high, but you can hold a short position indefinitely, and the buyers have to keep buying in order to prop up the price, whereas there is no opportunity cost for the big investors to hold their short position until this idiotic charade ends.
Yeah, I used stagnate incorrectly there. I want to specify that what will most likely happen is that after people realize that they can’t get any more people to buy the stock (because the long term price is dubious), people will start to sell over time. It might even be true that some people will short the stock AGAIN because it’s so high. Whatever the case is for management at GameStop, nothing it’s been doing could warrant a tripling in common stock value over 10 days. In the end the only people making profit are the shorters who held or started now and the people who bought and sold the stock already.
Elon tweeted and pushed the end of day $148 to past $200 after hours today ?
I don't think they're escaping those short bets.