The Asian community, led by billionaire Justin Sun, join the GameStop wave to fight against Wall Street
The stock market fever surrounding US video game retailer GameStop has spread to Asia with Asian billionaire, Justin Sun announcing a war on Wall Street and hedge funds, pledging to buy US$10million worth of GME. While other massive businessmen such as Elon Musk backing the GameStop wave.
This resulted in a number of brokers restricting trades. These brokers are Robinhood Markets (US), Futu Holdings and Up Fintech Holding (China) and other US firms, all restricting users from buying shares of the infamous GameStop and AMC Entertainment Holdings.
Retail investors from Asia have become inspired by the GameStop rally and more chatrooms on Reddit are opening to synchronise market moves, similar to the 3 million people using the WallStreetBets Reddit chat room.
The GameStop situation
GameStop’s share price was estimated to fluctuate between the US$3 and US$10 mark. Then a member on the r/wallstreetbets noticed that hedge funds were targeting GameStop by taking a significant amount of short trades against the brick-and-mortar gaming shop, hoping that the price will go down and keep the difference.
Enter the Reddit Army
The reddit community noticed that millions of dollars worth of Gamestop stock were shortened, and in true internet fashion – drove the price up. So much so that GameStop shares have surged by 2,450% from their close in 2020, resulting in hedge funds losing billions in the process.
After seeing this, Asia decided to join in on the fun as companies such as Anritsu, one of the most shorted stocks in Japan, reached levels they have not experienced since 2001.
This revolution does not seem like it is going to stop anytime soon too as Asian Billionaire, Justin Sun, has joined the reddit army backing r/wallstreetbets. Justin Sun published a number of tweets on the matter:
With the Asian community joining in the battle against Wall Street and greedy hedge funds in relation to GameStop, it will be interesting to see how far this will go and what the reaction will be. As Justin Sun agrees that today is Judgement Day for Wall Street.
However, whatever hedge funds, Wall Street and trading platforms throw at them, one thing is for certain – The internet is undefeated.
Source: Nikki Asia
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