“Now the biggest question for today is will the "new owner" defend this line in the sand: $4.00?”
I think you know the answer.
I believe they already made their money by selling in the 9’s and 10’s. They only buyers now are short coverings. The “new owner” will want it to go lower. They are in no rush since their short position is greater than the offering. The stock will close < $3.80 today.
How many times do folks need to see this before they realize what is happening to them. Reminds me of the movie Ground Hogs Day.