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A market crash will most likely not affect all stocks the same. It could very well be that MOASS occurs at the exact same time (causally linked events).

To elaborate a little. Most of the depression of what are called "the meme stocks" is not due to actual sale of the stock, but to short sale of the stock. In other words, the stock hasn't actually been sold, there has just been the creation of stock out of the aether, which is then sold at a depressed price to be covered by "real" stock at some future time (or as they do it, creation of new stock out of the aether to cover their previous aether derived stock).

A real stock market crash is done by actual sales of stock, which is to say, someone sells their stock, driving the bid down. This causes everyone to jump on that bandwagon, putting lower and lower bids, driving the bid down further. Someone is buying up that stock, but the people who hold the stock are only selling to the bid. No one is buying from the ask, thus the price goes down further and further.

In the case of stocks that have substantial short sales, people are just holding, thus the price won't go down near as much, if at all by the "sell to the bid" method of stock price fall.

If it happens that this sale of other stock from the larger market coincides with covering shorts (without rehypothecation), it could also be that this liquidation of other assets making up the greater stock market causes prices to skyrocket on these artificially depressed stocks.

88 days ago
2 score
Reason: Original

To elaborate a little. Most of the depression of what are called "the meme stocks" is not due to actual sale of the stock, but to short sale of the stock. In other words, the stock hasn't actually been sold, there has just been the creation of stock out of the aether, which is then sold at a depressed price to be covered by "real" stock at some future time (or as they do it, creation of new stock out of the aether to cover their previous aether derived stock).

A real stock market crash is done by actual sales of stock, which is to say, someone sells their stock, driving the bid down. This causes everyone to jump on that bandwagon, putting lower and lower bids, driving the bid down further. Someone is buying up that stock, but the people who hold the stock are only selling to the bid. No one is buying from the ask, thus the price goes down further and further.

In the case of stocks that have substantial short sales, people are just holding, thus the price won't go down near as much, if at all by the "sell to the bid" method of stock price fall.

If it happens that this sale of other stock from the larger market coincides with covering shorts (without rehypothecation), it could also be that this liquidation of other assets making up the greater stock market causes prices to skyrocket on these artificially depressed stocks.

88 days ago
1 score