Just a quick update to what I wrote here: https://discussion.fool.com/my-guess-on-what39s-up-with-crwd-343…
CRWD’s usual volume is about 2.7 million shares per day. Monday (when the lockup expired) they hit another digit, and volume was 13,807,010, so more than 5 times the usual. Yesterday it was only a couple times the usual volume, 5,760,528 shares. Today it’s up again – more than 3.6 million already, and the market has only been open for about an hour. So it seems pretty clear to me that there are more sellers than buyers right now.
Here’s the number of CRWD shares traded the last several days:
12/16 in the first hour or so of trading: 2,204,382
Remember, 2.7 million was the average per day. We’re still seeing hugely elevated trade volume in the wake of the lockup expiration.
The price has been below $50, down between 10% and 20% from November and early December prices. I still interpret this to mean there are currently as many sellers than buyers, if not more sellers.
To me, this also means that now is the time to accumulate shares, while sellers are still letting their shares go at these prices. Once all the sellers have liquidated the shares they want to cash out, I would imagine the share price will start to head back up.
Does anyone have an alternative explanation of the circumstances currently surrounding CRWD?