Seven Arts Entertainment Inc (SAPX)

[sbc357]

The reason is there are wayyyy tooo many entities that want out the small hole left when any hope is generated. They are competing with each other to see who can get out the quickest before the price gets killed. Once they see one of the others selling their shares, they all start trying to sell in front of each other to get ahead of everyone before the price drops to even more losses.
If the company had only given out a million or two million shares in the past few months, the price would stabilize and move up a bit. However, this POS company continues to add tens of millions of shares onto shares they issued just a month ago - with that many shares continually flooding the supply, noone can get out quick enough. Consequently, they all race to pressure the tiniest bit of rise in share price to get theirs sold first.