GameStop stocks were looking grim today when the market open, seeing its lowest point since it skyrocketed last week. The retailer's stock continues to be in a state of chaos but saw some life following the downward spike before tapering off throughout the day.
This all comes as a lackluster climax to the GameStop stock saga which made headlines last week. Thanks to Reddit, the stock for the failing business soared after being artificially inflated in an effort to screw over Wall Street. After seeing that GameStop was one of the most shorted stocks on the market, Reddit realized they could make big gains by driving up the price. Wall Street would be forced to give in and also drive the price up, allowing for big profits. The scheme was recognized by the likes of Elon Musk, which caused the stock to grow even higher.
After plenty of drama, the GameStop stock plummeted. It looked like it was game over, but the likes of Mark Cuban and the Reddit army insisted this wasn't the end. Shortly after hitting the $80 mark, the stock started to rapidly rise past $100. At its peak, it hit $137.06, a sharp decline from its $411 high-point last week and its formerly steady $300-range, but it shows the fight is still on. The stock initially went up but has since begun to taper off throughout the day.
GameStop shorts have also been restricted following the intense decline, which could lead to the stock soaring once again on Wednesday when it takes effect. There's really no telling what will happen, but there's a lot of optimism from /r/WallStreetBets. A lot of things can still happen to throw a wrench in this ordeal. As investors have already seen, things can go wrong very quickly. Last week, brokerage app Robinhood became the number one app on the App Store and then quickly became a villain in the eyes of many. The app restricted buying on stocks like GameStop, causing many to panic and sell as it derailed much of the momentum for the stock. Robinhood has loosened the restrictions over time, but the move was such a setback for the movement that it led to calls for legal action.
Political figures like AOC took to social media, saying Robinhood should be held accountable for disrupting the GameStop stock. A class-action lawsuit was filed and now, Congress is expected to hold hearings very soon on the whole ordeal. As of right now, the battle for the stock market continues.