The GameStop (GME) stock position of Keith Gill, known as “Roaring Kitty,” is more akin to market manipulation than traditional investing, according to Citron Research.
Citron Research, one of the most prominent GameStop short sellers, has criticized Gill for alleged market manipulation. In a June 3 X post, it wrote:
“Now, with $GME, he posts with a large account and a significant near-term option position, appearing more like manipulation without a solid thesis. Considering the stock is now 2,000% higher than his initial video almost 4 years ago.”
The firm’s market manipulation allegations came shortly after Gill shared that he is up over $300 million on his GME position, which could make him the first GameStop billionaire by the end of this week, provided that prices continue to rise.
Gill’s screenshot revealed that he purchased five million GME shares for $115.7 million and put $65.7 million into call options, betting that GME would be at least $20 a share on June 21.
Citron Research also alleged that Gill’s GME position may be financially backed by a larger entity, according to the post:
“We believe someone is backing Gill—there’s no way he made this size trade alone. His reported finances don’t support t his trade. Investors will see through this roaring Icarus.”
Related: Why is Notcoin up 300% over the past week?
Citron Research remains a top GME short-seller
Citron Research was the latest large firm to announce its short GME position, according to a June 3 X post by the Kobeissi Letter:
“Citron Research was the latest short seller to announce a short position. On May 16th, Citron announced that they are short $GME again. In 2021, Citron lost over $100 million shorting $GME.”
In January 2021, Citron Research was forced to close out its short GME positions at a 100% loss due to the retail buying frenzy kickstarted by Gill.
GME stock price is up 21% on the daily chart and over 71% during the past month, trading at $28 in pre-market on June 4.
Related: Will Bitcoin benefit from a European Central Bank rate cut?
GameStop retail investors’ backlash
Citron’s social post has created a widespread backlash among retail investors, who took issue with the short seller’s manipulation allegations.
Pseudonymous GME investor Fitzzzy wrote in a reply to Citron’s post:
“For someone who is short GME you don’t pay much attention to your investment. DFV [Keith Gill] was buying ITM calls in late April and early May $100k at a time. Those same trades were worth over $10 million each on May 13th and 14th.”
Under the same post, pseudonymous X user Comedyorwat commented:
“You know what’s funny? We had the very same questions about your short positions, in which they were reported at over 240% before the sneeze…”
“The FBI raided your house back in 2021,” commented financial researcher Wolf of My Street, referencing the 2021 incident when federal agents investigated Citron Research founder Andrew Left’s home due to alleged wrongdoing by the short-seller.
Magazine: Caitlyn Jenner meme coin ‘mastermind’s’ celebrity price list leaked
