<story><title>Hedge fund Melvin sustains 53% loss after Reddit onslaught</title><url>https://arstechnica.com/gadgets/2021/01/hedge-fund-melvin-sustains-53-loss-after-reddit-onslaught/</url></story><parent_chain><item><author>kyrieeschaton</author><text>How much evidence is there that the &amp;quot;reddit onslaught&amp;quot; actually moved the price, as opposed to them being the stalking horse for more sophisticated actors with more capital exercising a vanilla short squeeze strategy?</text></item></parent_chain><comment><author>robbomacrae</author><text>So many conspiracy theories on both sides these days. Don&amp;#x27;t forget Ocram&amp;#x27;s razor. I don&amp;#x27;t think there are many sophisticated actors here at all. I&amp;#x27;m speaking as one who did DD on GME back in September and throw some money in (thought it was a great opportunity mainly because of Cohen + 
the upcoming console super cycle with a tiny chance of squeeze thrown in) It was a smart discovery by WSB and got a bit more than average attention but then it kept growing.. every week more DD&amp;#x27;s posted and more attention. Now the entire sub is so dedicated to GME its actually annoying.&lt;p&gt;I think it really is the simple dumb story of a really bad bet by a hedge fund getting called out online and a with more and more jumping on the wagon and with the hedge fund making more and more dumb mistakes. And everyone is underestimating the redditors who, behind the emojis and crap talk, are actually pretty smart. Collectively they can, and did, cause this.. no need to invent other actors to explain it.</text></comment>
<story><title>Hedge fund Melvin sustains 53% loss after Reddit onslaught</title><url>https://arstechnica.com/gadgets/2021/01/hedge-fund-melvin-sustains-53-loss-after-reddit-onslaught/</url></story><parent_chain><item><author>kyrieeschaton</author><text>How much evidence is there that the &amp;quot;reddit onslaught&amp;quot; actually moved the price, as opposed to them being the stalking horse for more sophisticated actors with more capital exercising a vanilla short squeeze strategy?</text></item></parent_chain><comment><author>londons_explore</author><text>My experience of reddit is you can get a &amp;quot;wildly successful&amp;quot; meme or post, yet rarely that translates into more than a few thousand dollars of cash being spent on anything.&lt;p&gt;All the &amp;quot;wildly successful&amp;quot; kickstarters and stuff seem to have commercial backers lined up to make the social media buzz effect appear bigger than it is.&lt;p&gt;I suspect the same happened here.</text></comment>