Crush the bears! The stock price of game post once soared nearly 94%. What happened?

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Overnight, short positions in NYSE: GME were crushed – the video game retailer’s share price surged nearly 94% in Wednesday’s session, though the closing gain narrowed to about 57%.
According to S3 partnters, short sellers lost a total of $812m that day.
On January 11, game express announced that it had reached an agreement with RC Ventures LLC, a venture capital fund, that the board of directors would join three members from RC ventures to promote the transformation of the company. According to the agreement, Alan attal, Ryan Cohen and Jim Grube will be appointed as directors of the game post.
Ihor dusaniwsky, head of S3 partnters, said the change, combined with holiday sales results, appeared to have triggered a “buying storm.”.
According to Dow Jones market data, as of Wednesday’s close, the stock trading volume of game station reached 143.5 million shares, almost double the peak of 77.15 million shares before October 9. The stock closed at $31.40, its highest closing price since August 2016.
Despite the heavy short losses, ihor dusaniwsky does not expect the stock’s short position to fall significantly. On the contrary, shorters increased their positions.
Standpoint research analyst Ronnie moas recently downgraded the stock rating of the game station from “buy” to “hold”. Moas noted that he recommended the stock on December 29, 2016, when it was trading at about $25. “In view of recent absolute and relative trends, I will no longer give the stock the highest rating.”