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The cost to borrow shares of Mullen Automotive (MULN), an electric vehicle maker, has skyrocketed to 742%, indicating a potential short squeeze. The high borrowing cost is a result of the scarcity of shares available for shorting, making it harder and more expensive for short-sellers to maintain their positions. The surge in borrowing costs suggests that a significant number of short-sellers may be forced to cover their positions, driving up the stock price.

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Risk warning: Digital asset trading is an emerging industry with bright prospects, but it also comes with huge risks as it is a new market. The risk is especially high in leveraged trading since leverage magnifies profits and amplifies risks at the same time. Please make sure you have a thorough understanding of the industry, the leveraged trading models, and the rules of trading before opening a position. Additionally, we strongly recommend that you identify your risk tolerance and only accept the risks you are willing to take. All trading involves risks, so you must be cautious when entering the market.

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