GameStop and meme stocks surge again: here are the new targets

The Rise of GameStop (GME) and the Meme Stock Craze

Wall Street is once again buzzing with euphoria, amidst one of the most extensive bullish markets in history.
In times like these, it’s no surprise to see the classic speculative frenzy surrounding the so-called Meme Stocks, shares with low or non-existent fundamental value but high short interest, making them targets for short sellers.
However, they become subject to sudden and intense media whirlwinds, creating an unprecedented demand that drives their prices to absurd and unimaginable levels.

GameStop (GME) Continues to Reach New Highs – What’s Happening?

The spotlight is once again on GameStop, the leader in this craze.
The surge in the value of these shares raises questions about what is driving this trend and what to expect next.

This isn’t the first time that GME shares have been at the center of media attention.
It all started during the post-Covid-19 bull run when GME surged thanks to support from the Reddit community’s r/WallStreetBets.
After a period of dormancy, the company appears to have regained investors’ attention.
One of its founders, Roaring Kitty, recently shared a meme on the social platform X, reigniting discussions on r/WallStreetBets.
This sparked a frenzy around GME shares.
Subsequently, the price dropped again, fueling the perception of another speculative bubble.

What initially seemed like a flash in the pan turned into a wildfire on Sunday, June 2nd, when Roaring Kitty disclosed his investment portfolio online, revealing holdings of over $115.7 million in GME shares.
What truly caught the market’s attention was the additional $65.7 million in call options with a strike price of $20 expiring on June 21st.
This revelation was accompanied by an enigmatic post on X that featured a reverse card from the popular game “Uno”.

What’s Next for the Market of Meme Stocks?

Roaring Kitty’s move triggered a fresh wave of speculation in the meme stock market.
GME saw a surge of over 80% in the US pre-market, propelling the shares from a low of $20 to nearly $40.
According to the general sentiment among r/WallStreetBets users, the stock price of GME could likely remain above $20, as it corresponds to Roaring Kitty’s options exercise price.
Alongside GME, other meme stocks have also regained investor interest.
For instance, in pre-market trading, BlackBerry (BB) shares are up by 6%.
AMC and Robinhood (HOOD) are also showing positive momentum.