Topic: The GameStop drama and what does it mean for Bitcoin - page 7. (Read 1461 times)

The general populace being hit how? Because the state will bail out some rando hedge fund that's not even close to system relevant? That would only be the point where they would show their true colors.

So far the only bail out money they've received is from other financial firms, such as Citadel. Those can handle a bit of bleeding. They deserve bleeding. As mentioned above, Citadel is currently actively manipulating the market by preventing Robinhood users from buying $GME, just a week after taking a short position on $GME by investing in Melvin Capital.

So who loses? The Melvin Capital investors? The funds themselves are not even open to the general public. The minimum investment for Melvin Capital is USD 1,000,000,- [1]. I think whoever is invested with them can take a bit of a hit.

[1] https://privatefunddata.com/private-funds/melvin-capital-onshore-lp/

Welcome to today's episode of The old Story of Pump and Dump Channel (Stock Market Edition)  
Apparently, it affected the crypto market well. we can see dogecoin get some nice gain today, over 100%.
GameStop really gives the market good vibes, especially for retail investors.
We would see more things like this soon, or strictly something bad will happen after SEC things (surely, SEC will take down those strange market activity).

Of course, that wasn't right either, but that was exactly my point.
Two wrongs don't lead to anything other than two more wrongs and in the end, exactly the plebs that you mentioned will be hit. So, who lost those billions, investment funds? Are the investment funds going to grab money from their pockets and pay up, or actually all the money lost is not theirs but also a lot of plebs money in it?

From the outside, it looks like the little guy kicked the but of the evil wall street banksters. In reality, the only ones that lost money are the ones that didn't have a say in all of it, the ones that made the mistake in shorting will still get their hundred thousand bonuses, they will still enjoy their huge salaries and nothing will change. The plebs will scream they have finally got their revenge till they check their pockets.

If this thing triggers more regulation (how do we call this, "good" regulation ? if there is such a thing) to avoid abuses, yes!!!, it will be a victory indeed, if nothing happens it was even less than a pyrrhic victory.

I’m totally speechless monitoring the price move on gme the entire day, it goes from 480 premarket to 340 on market open, and down to 113 during the trading session and then rebound back to now $299, all in just one single day, is this the volatility set a precedent to what’s about to come? Surprise! Btw I’m just a observer have no vest interests on this brutal manipulation.

I like the story of a group of individual investors who can take down Melvin, but it seems pretty unlikely. Big HF companies can borrow much more money if they need it, with the risk of only bankruptcy.

The end game is pretty much predictable, trading suspension, and traders forced to close their position.

Timcast rant > https://www.youtube.com/watch?v=vtYRmSPKNqY

That's true but it is not really good for any market at all! A market which can be manipulated at will, is very dangerous for an average Joe! It is only profitable for those people are part of the strategy (or should I say conspiracy), but super dangerous for the rest.

In stock market, at least there is a method to halt trading but when it comes to crypto market, it can be compared with wild west only! In a general sense, price increase is good for HODLers, but a trader usually rides the wave and pumping may ruin his trading plans!

I think at this point every retailer joining in is fully aware of the insane play they are making. Who else would?

Looking through r/wallstreetbets and related communities there seem to be mostly two kind of $GME investors right now: 1) WSB veterans with a lot of skin in the game, but compared to their usual trades the current situation is nothing, 2) WSB lurkers throwing a bit of play money in to be part of history, spite wallstreet and maybe make a little cash along the way.

I wouldn't go on r/wallstreetbets for financial advice, but honestly, I' prefer it over the Altcoin boards any time.

As for the pocket change:


Looking at the big picture those USD 3.75 billion may still be pocket change, but it's much more than any market manipulating bank has ever been fined in the last few years. (and I don't mean this as a blanket statement that all banks are market manipulators, but literally banks that have been caught manipulating the market)

That was last week when the price was much lower. Who knows how much they've lost in the meantime.


On a sidenote, $GME is crashing right now. Looking at how Robinhood is disabling buy orders and how even some of the European market places appear to become unavailable for trading every now and then, this looks like an orchestrated attack, which are words that I don't use lightly. Let's just say it's highly irregular that $GME trading has become almost impossible despite market movements and volumes not having changed much in the last 24 hours. This is not Kraken's trading engine shitting its pants because of a big green Bitcoin dildo, this is stock markets on a regular Thursday.

It perfectly shows what happens when too much money is printed. It has to be said that these actions are mainly carried out by millenials on platforms like RobinHood who have little and no idea about the stock market. One can have sympathy for a group of small individual investors forcing large hedge funds into a short squeeze, the only problem is that this can quickly jump over to the general market. Because when hedge funds have to cover their short positions, they usually do so with value stocks that they then have to sell on a large scale. This is exactly what was hinted at yesterday when Apple and Tesla fell, although the published business numbers were excellent.

Well, seems like it's already spilled over into crypto, the WSB people, directly or indirectly, have pumped DOGE.


What about all the retail investors who were buying since the rally started? No matter what's your view on hedge funds and WSB, it should be completely clear that the stock is overvalued by insane margin, and it will be not only the hedge funds to suffer losses when the dust will settle. And what's worse, these losses will be a pocket change to institutional investors, but some of the retailers are gambling with their savings.

Though I do sympatize with WSB over the fact that these hedge funds are begging regulators to intervene.

Don't get me wrong, there's nothing wrong with shorts. They are an important tool for keeping the market in balance.

But.

Shorting 138% of a stock in existence? That's fucked. Selling subprime loans while at the same time shorting them level fucked.

Imagine whales shorting 28.98 million bitcoin on margin. Wouldn't that tempt you to squeeze them by the balls a little? Full knowing that they'll have to cover by trying to buy up more coins than ever have existed?

They fully knew the risk, they just didn't expect the plebs to notice the vulnerable position that they put themselves in.

Maybe the reason for the first "manipulation" was the fact that the company was going out of business (and it will still do) with 1000 stores closed in the last years, 300 of them last year. So I don't see what the manipulation was shorting a company that is on its last legs. If that was unethical one might have to stop all short and long options, oh wait, far better, let s stop trading altogether so nobody can get rich and manipulate anything.

The revolution has succeeded, the evil banksters have been ruined and now the good guys are left with expensive stocks that will go back to zero unless they dump it on...hmm, some...evil goblins.... but that's a good thing, right? Completly ethical!
Let's cheer and grab some forks and hang everyone who dares to short bitcoin!

That GameStop stock drama showed that you dont have to be a whale to influence the price. The situation simply proved one more time, that the crowd with similar ideas, aims and a leader (or strategy) can achieve a lot.
As to Bitcoin, we have a lot of users, enough funds and unified goal, we only need little till mass adoption.

As I posted above: The end game is short squeezing the hedge funds overshorting the stock. The victim won't be small investors, but rather institutional ones that have made their fortunes fucking over the little guy over the last few decades.



There have been a few trading halts over the last couple of days. Robinhood is not allowing buys tomorrow. The latter which is totally unrelated to their affiliation with Citadel who bailed out Melvin Capital with USD 2 billion just a few days ago  



The manipulation happened the months before, when hedge funds artificially suppressed the price of $GME by short after short. This is just a way to call them out on it while abiding to the rules they set.

What's there to think about? As if for the first time in history, someone arranges a pump of something that can be traded. They will play and calm down. They will collect all their profits, fix their dollars and go away and GS shares will return to the previous price.
In this story, the only loser will be the one who does not have time to get out, but I hope that people (or most of them) understand what they are dealing with. Hedge funds will earn their money in the future

So, manipulation is good when is we do it 
I love the crypto scene, I can even picture the next few days, everyone that was revolting every day against whales and pumps and dumps will applaud this move since be a pump done by "the free folk",  let's do it as we are on the side of justice.
I'm getting my popcorn ready, every time a revolution is announced or it happens usually the outcome is ten times worse for the people watching on the side.
Yeah let's bring down Wall Street, the same wall street we were begging to invest in two years ago and we were kissing their ass for putting money into bitcoin just a few months ago! Cause....revolution!


Ask Chapo, I've heard he also plans a lawsuit, but probably you might have higher chances with that shitcoin.

The US exchanges look like they're going to be causing the crash themselves. I noticed a buy I placed yesterday (with a fraction of the profits from another trade) hasn't gone through because some European exchanges don't have enough and can't buy them from the US so... (although you can still sell for $340/share (or whatever live price is) so are exchanges trying to get some - or just to not get sued?

---

If anyone was interested it's still possible to buy on some exchanges although it'd be a massive risk if you're expecting profits.

A friend in the forum shared it.


https://twitter.com/econoar/status/1354780341060333575/photo/1

I just hope that it will have a positive effect on Bitcoin and crypto-currencies generally. People learn traditional finance is changing and wanted to be a part of that change.


There will be a dump but if it happens after tomorrow that would only means hedge funds will be bagholders. They have to close their short positions before tomorrow.

It won't end well. There must be an epic dump at some point, and the victims usually the small investors.
I think it is more dangerous than the crypto market since, traditionally, the stock market is not as aggressive as the crypto market. Here, we are getting used to the phrase "Only invest what you can afford to lose."

Anyway, I'm shocked there is no auto-rejection or auto-suspension in NYSE.

Retail investors are such a tiny and irrelevent minority demographic. Its impossible to imagine them generating sums of liquidity necessary to pull this off.

Those getting behind this movement being impulsive and not well informed or educated. The mass hysteria and greed this fosters. Can't be good.

If this were legit they would target a stock or crypto asset where price trends wouldn't be so visible or noticed.

There are less regulated markets trading on lower volume which would be easier to target for better $$ profits and gains.