After the market closes, adze (TSLA) CEO Elon Musk appeared to join the pilo-on with a tweet that sent GameStop shares short over $ 200. His comment in one word – “Gamestonk !!” – it was all it took to cheer up the popular Reddit page that generated most of the hype around the action.
This was Musk’s second tweet in 24 hours to create agitation for individual action.
GameStop has grown by more than 680% so far this year – an unlikely growth driven by investors gathering on the WallStreetBets subreddit. These traders essentially declared war on GameStop short sellers – investors who placed bets on which a share would fall. The higher GameStop goes, the more money short sellers lose.
Reddit traders are also crowding in on other struggling companies, which short sellers tend to see as overvalued, including Blackberries (BB), Bed Bath & Beyond (BBBY), Macy’s (M) and I HAVE C (I HAVE C).