GameStop has been seeing a record increase in its stocks lately, with the retail chain seeing stock prices of up to $76.79 per share. This is in stark contrast to the roughly $3 per share prices that GameStop was seeing last year.
This record surge has allegedly caused GameStop to temporarily halt trading since stock prices have been trending upwards for most of 2021 thus far. Oddly enough, the cause of this upward trend isn’t actually due to the game retailer’s business doing well but is actually due to a fight between short-sellers such as Citron Research and subreddit r/WallStreetBets.
Redditors began by buying GameStop stock while it was at its lowest prices. Meanwhile, short sellers made moves to protect their stock by buying back what was needed in order to return it to their lenders. This caused the prices to climb higher due to an influx of buying as a result of short sellers trying to maintain their profit by buying even more GameStop stocks that resulted in prices going higher.
GameStop has not yet released a comment regarding their stock surge.
