This time is different. Rates are lower. Sentiment is lower. Short positions are smaller. Meme ETFs have closed shop. Crypto is… not dead, but not what it was in the heady days of 2021.
That’s the lay of the meme stock land offered by Ben Laidler, eToro Group Ltd’s global markets strategist.
His comments come as Gamestop and AMC return to the headlines three years after the 2021 short squeeze brought on by activist investors gathering around the Reddit (NYSE:RDDT) alcoves.
In a statement to Proactive, Laidler said: “Investors are once bitten twice shy. Our basket of 15 of the favourite meme stocks from 2021 is down by two-thirds since, and many such as AMC a lot more than that.
“Retail investors still meaningfully own GME and AMC from the heady days of 2021, but recent platform activity has been selling not buying.
“Retail investors are more important than ever to markets today and the number of /wallstreetbets subscribers has grown to over 14 million… this meme rally maybe rhymes with 2021 but is unlikely a repeat.”
Either way, we have surely witnessed the birth of the most influential sketch of a man leaning forward in his chair of all time.
— Roaring Kitty (@TheRoaringKitty) May 13, 2024
GME shares are currently available on eToro.