Short Sellers and Meme Stocks Collide Again in Late 2021

Ivan Ćosović tracks all things activist short selling and meme stock related at his service Breakout Point. In this interview, Ćosović breaks down what we have seen in both worlds over the last month, highlighting the increased interaction between the two groups as some of the most successful activist short campaigns over this period targeted sub-billion-dollar market cap meme stocks like Camber Energy, Nextplay Technologies, and DatChat. He also discusses the return of focus on SPACs after the launch of Trump-linked Digital World Acquisition Corp. He notes that these high-profile launches can reinvigorate interest from short sellers and retail traders alike, and although interest in SPACs has reached levels not seen since early 2021, the “King of SPACs”, Chamath Palihapitiya, has not yet returned to the same levels of interest.