GME Trading Suspended Following Roaring Kitty’s Market Impact Post

GameStop Corp. ($GME) shares saw a significant increase on Thursday following a mysterious post by Keith Gill, the prominent figure behind the 2021 “meme stock” phenomenon. The post quickly rekindled investor enthusiasm, resulting in a surge in GameStop’s shares and a boost for the Roaring Kitty meme.

Roaring Kitty’s Mysterious Post Drives $GME Stock Up 15% – What’s His Next Move?

Keith Gill, widely recognized as “Roaring Kitty,” has once again influenced the markets with an enigmatic post on the social media platform X.

Gill, a pivotal player in the 2021 GameStop retail trading surge, shared a picture of a Time magazine cover that showcased a computer with an old video player.

pic.twitter.com/tXViICmVFG

— Roaring Kitty (@TheRoaringKitty) December 5, 2024

Known online as “Roaring Kitty” on YouTube and “DeepF***ingValue” on Reddit’s WallStreetBets forum, Gill posted an image of a Time magazine cover featuring a computer screen on the social media platform X.

This post resulted in a 15% increase in GameStop’s stock price, prompting trading halts on platforms like Robinhood due to increased volatility.

The impact was felt in the digital asset market as well, where a GameStop-themed meme coin on the Solana blockchain surged by 65%.

Gill, a former financial advisor from Massachusetts, first gained recognition in 2021 by promoting GameStop as a retail investment opportunity.

This ignited a retail trading frenzy that propelled the stock up over 10,000% at its peak.

Roaring Kitty Returns: Keith Gill Ignites Market Turmoil After Three-Year Absence

Gill’s recent activity on social media follows a three-year break, during which his followers eagerly anticipated his comeback.

Many view him as a representation of retail investors’ victory over Wall Street, comparing him to a contemporary David facing Goliath.

The GameStop trading frenzy of 2021, initiated by Gill’s optimistic posts, also spread to other heavily shorted stocks like AMC Entertainment.

The collective actions of Reddit users to pressure hedge funds led to billions of dollars in losses for institutional investors and attracted regulatory scrutiny.

The dramatic occurrences of the Reddit rally were later portrayed in Craig Gillespie’s 2023 film Dumb Money.

The 2021 rally also raised concerns regarding market fairness, especially after trading restrictions were placed on retail investors.

These actions prompted accusations of manipulation, as hedge funds maintained substantial short positions in GameStop during the height of the trading frenzy.

By Thursday afternoon, trading activity surrounding GameStop had escalated, with around 300,000 options contracts exchanged—approximately 1.5 times the typical trading volume, as reported by Reuters.

The stock’s 30-day implied volatility, an indicator of anticipated short-term price fluctuations, also rose to 132%, reaching a three-week peak.

Among the most sought-after trades were contracts speculating that GameStop’s stock price would surpass $30 by the week’s end, with 32,000 such options traded by late afternoon.

A Solana-based dog-themed memecoin, Chewy (CHWY), jumped nearly 28% following Roaring Kitty’s return, known for the GameStop short squeeze.

Gill posted a cryptic image on X on September 6, igniting speculation among traders.

The post included a Toy Story meme featuring the Chewy logo, which some interpreted as a hint that Gill might be distancing himself from his role at Chewy.

Despite lacking technical utility, meme coins like CHWY thrive on social sentiment, making Gill’s posts impactful for traders.

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