Profit taking is often a major reason behind the fall in many stocks and that is what happened with the Creatd Inc (NASDAQ:CRTD) stock on Tuesday. After investors decided to book some of their profits, the stock declined sharply and went down by as much as 18%.
At the same time, it is also necessary for investors to keep in mind that over the course of the past week, the Creatd stock is still up by 41%. The company is involved in developing digital communities, exploring e-commerce business opportunities and in marketing digital content for brands.
That being said, investors need to note that despite the gains made by the stock over the past week, there has been no news about the company during the same period. The entire rally in the stock seems to have been triggered by the actions of retail investors who are active on online platforms like StockTwits, Twitter, Reddit and Discord. It appears that those investors have been working on a short squeeze in order to send the Creatd Inc stock price up. Over the past months, such short squeezes have resulted in enormous gains in many stocks and hence, investors could do well to keep an eye on the Creatd stock.
On Tuesday, CRTD stock slumped 17.56% at $4.60 with more than 35.03 million shares, compared to its average volume of 1.55 million shares. The stock had moved within a range of $4.5200 – 7.8000 after opening the trade at $7.15. Over the past 52-week, the stock has been trading within a range of $2.1000 – 7.8100.