Day traders might cite the peak of a past pump-and-dump to make...

Day traders might cite the peak of a past pump-and-dump to make Spenda's stock look bad because it serves as a stark contrast to its current valuation, especially if the stock is now trading at much lower levels. This tactic can be used to create a negative sentiment for several reasons:

1. **Highlighting Historical Volatility:** By pointing to the spike, traders emphasize the extreme volatility and speculative nature of the stock in the past, suggesting instability.

2. **Undermining Investor Confidence:** Referencing a peak from a pump-and-dump can shake investor confidence, implying that the stock has not recovered and may still be prone to manipulation.

3. **Questioning Growth Potential:** Comparing current prices to the artificial peak may be used to argue that the stock has not lived up to its previous hype or growth expectations, painting a negative outlook.

4. **Discouraging Long-Term Investment:** This tactic can discourage long-term investment by focusing on past speculative surges rather than the company's current fundamentals and future potential.

By using the peak from the pump-and-dump, day traders aim to cast doubt on the stock's credibility and future performance, potentially influencing investor behavior negatively.

We should be wary of such tactics