Trading app Robinhood has reportedly suspended the trading of GameStop stock and others after GME’s stock surged in a parabolic rally. GameStop soared as several traders on Reddit’s WallStreetBets were short-selling the company’s stock. The Redditers fuelling the price surge are now referred to as the “GME Army.”
GameStop shares have jumped from their trading price of around $20 recorded on the 12th of January to about $242.16. The current trading price is a 30.32% loss over its previous close of $347.51.
Apart from GameStop, AMC Entertainment has also been skyrocketing. During the early hours of trading on the 27th of January, AMC stock quadrupled. As a result of the stock performance, Robinhood has also suspended the purchase of AMC stock.
Nasdaq CEO Adena Friedman commented on the recent trading action in an interview with CNBC. The CEO said Nasdaq may halt trading for any stock with “unusual activity.”
The rise in GameStop stock has attracted several reactions from social media users. Some Twitter users said that the rise in GameStop’s stock may bring down the entire financial system. Some Twitter users are also comparing GameStop shares to Bitcoin. In a tweet, NetHistorian said:
“GameStop shares gonna be the new Bitcoin. Going all in with my pension. HODL.”
In a separate tweet, Box CEO Aaron Levie said Bitcoin’s time was 2020, and GameStop is the “new store of value.”
Image Credits: Pixabay
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