this might sound bad, but my guess is once it's 500M+ you'll see another sell event. but...if you have been reading my previous posts, it will hurt hedgie more than it will hurt the UBQU yacht clubbers!
right now, my copper hat is still showing market weakness, but the memes acting more coiling than capitulating. Game, Beddy and chewy are actually green, only movie acting like a typical short, which makes sense because it's getting promoted to the russell 1000 tomorrow. so movie was going UP when the s&P was red because kenny and shorters could unwind their shorts on the russell 2000 etfs with little squeeze chance and today my guess is either shorting fools or those who want to reassert their short positions are now shorting russell 1000 related etfs of the movie stock directly.
anyhoo back to UBQU. I didn't expect the bid to grow THIS FAST in such a shorting and market weak environment.
but...and here's why I responded and about UBQU I now have a different theory as to why the ask stays rock solid, and as bids at 1 get bought, the ask floats a little higher...like 1/2 the volume
originally I thought it was MM algos
now I'm wondering if ...the UBQU yacht club does own the float like you once posited, scratch.
what if UBQU'S 25B minus ballas and UBQU insiders are professional trip traders. patient whales who follow the rule of buy the 1s, place 1/2+10% on the 2s ask GTC and once you run to 3 and beyond...you've already made 100% and the rest is free?
\that could explain a little more ask pile-on as we continue to just lean towards the 1s.
I do believe once we are in a serious gamma on the memes or an outright squeeze, you'll either see the bid get HUGE quickly....or even start seeing the ask getting whapped in 100M+ chunk blocks....but until then, I'm happy to see the present behavior which implies that the retailers are WILLING to keep this off of nobid and provide UBQU with cash or debt forgiveness.
I hope ballas realizes that if the debt isn't coming down in a significant way at the very least at 00005 per converted share this next fin....it's going to lose a lot of these folks still willing to stick the bid at 1.
