$RZLV – The Panda and the Grizzly short selling groups are Trapped in the stock with 36M+ shorted shares. SI% of free float being 31%+ How are they going to get out of their positions without squeeze happening?
# The RZLV Short Trap: Why the Bears have no way out?
There is been coordinated assault from two short selling groups: **Grizzly Research** and **Fuzzy Panda Research**. *Their timing was clear—dropping reports right before the H1 earnings numbers hit on October 1st, 2025, hoping to spark a retail panic.*
Their reports made huge swings happen. Stock went from 6$ to 4$ & back to 6$. We tested big trend around 4$ area & broke under it 11/14/2025. Short selling report was most likely start of this down trend but it's behind now. **In fact their plan totally backfired. Let me explain.**
[As we can see in the weekly chart - picture this week we tested that big trend. What happens when we get over it? Big things for sure.](https://preview.redd.it/mdpc2fyz9zdg1.png?width=833&format=png&auto=webp&s=09523f9658738273533f2670740f5dc6b4803f0a)
https://preview.redd.it/2jn3els3jzdg1.png?width=1593&format=png&auto=webp&s=cac87df339615ecb6f33c23f29e95a10007c1930
Looking at the Fintel data, they initially tried to walk back their positions, with short interest dipping from **15M to around 11M** between mid-October and mid-November. They were looking for an exit, but the "long" conviction was too strong and the price didn't collapse the way they needed it to. *THERE WAS NOT ENOUGH SELLING & LIQUIDITY FOR SHORT SELLERS TO COVER THEIR FULL POSITIONS so they decided to keep the train going!*
**Short shares availability has been between 0 - 200K for days now.**
https://preview.redd.it/3atwh99tizdg1.png?width=1581&format=png&auto=webp&s=1edc3aafac0230b6504c8f551b3c40249be9dda9
**Short borrow fee rates are going up = confirming that there is really low amount of shares available to borrow.**
https://preview.redd.it/mx214stwizdg1.png?width=1586&format=png&auto=webp&s=2f14035d2e5985326598e2bc6e52d1850fe46c82
# November 28th 2025 - Pivot point & "OH SHIT" - moment for short sellers:
By November 28th, the shorts clearly hit the "Oh shit" moment. They realized the original thesis—that investors would run for the hills—was dead. At that point, they had two choices: take massive losses by covering, or double down to suppress the price.
***They chose to double down.*** Short interest didn't just grow; it exploded. We saw them go from 10M shares short to 20M+ & then to staggering **30M+ shares**. According to recent ORTEX live data, that number has climbed past **36M+ shares** up to date!
# Why covering ain't option anymore? For these short sellers, "covering" (buying back shares to close the position) has became nightmare. Here’s why:
1. To cover 36M shares, they have to hit the open market. In a stock with high conviction, tightening liquidity & tight float , that much buying volume would create a massive stick up.
2. If they start buying open market (covering), they become the engine driving the price higher. They would effectively shooting to their own leg as they would have a LOT more left to cover in their bags.
3. Their only game left is to keep borrowing and selling more shares to supress the stock price. They are essentially trying to build a dam to hold back a flood, but the cost to borrow raising will eventually force them to cover in the future.
# CONCLUSION:
The short sellers are not anymore in the stock because they believe the company is a "sham." They are in this because they are beautifully **trapped.** **They are forced to keep shorting to suppress the very momentum that would liquidate them if they tried to exit.** RZLV recently announcing a profitable December and a massive $500M ARR target for 2026 will give some "bad" boost for short sellers.
Stay tuned folks.