TL;DR

A Redditor boasts of Tesla gains, ignoring the inevitable crash. He’s likely to join the long list of pump-and-dump victims, proving that history repeats itself, especially when fueled by greed and internet hype.

Story

Another day, another Reddit pump-and-dump scheme brewing. This time, it’s Tesla stock, and the bag holders are already lining up.

Our protagonist, let’s call him “Diamond Hands Dave,” boasts about buying Tesla since March and having no plans to sell. His “proof”? A screenshot of unrealized gains. Classic rookie mistake.

How it works: A bunch of Redditors pile into a stock, hyping it up to inflate the price artificially. This creates FOMO (‣ Fear Of Missing Out: The anxiety that drives people to make impulsive decisions). Newbies rush in, hoping to get rich quick. The early birds might profit, but the latecomers are left holding the bag when the price inevitably crashes. It’s like a game of musical chairs, and most players end up on the floor.

Remember the 2008 housing bubble? Or the dot-com crash? Same song, different verse. Driven by greed and fueled by social media echo chambers, these speculative frenzies always end the same way: tears.

Impact? Diamond Hands Dave and his ilk might lose their shirts. Some might even lose their homes, betting money they can’t afford to lose. The worst part? They’ll blame the “market manipulation” instead of their own gullibility.

Lessons? Don’t trust Reddit gurus promising easy money. If it sounds too good to be true, it is. Do your own research. Understand what you’re investing in. And for the love of all that is holy, don’t bet your life savings on memes.

Advice

Don’t let FOMO drive your investment decisions. If a stock’s price is based on hype, not fundamentals, run for the hills.

Source

https://www.reddit.com/r/wallstreetbets/comments/1jis3kj/im_not_fckin_leaving/