Genspera Inc (OTCMKTS:GNSZ) Crashes Horribly

Genspera Inc (OTCMKTS:GNSZ) crashed 27.78% down the charts yesterday after a record 2.5 million shares changed hands.

The horrible slide took the ticker further down than it had been when it started its latest climb on a dollar volume of 1.8 million! That’s a whole lot of selling, by the standards of GNSZ – but, truth be told, investors should have seen this turn of events coming from miles away.

After all, this was an excellent moment for the company’s noteholders and warrant holders to make a profit on GNSZ‘s debt. It is more than a little likely that that some of the 3.6 million investment units that we talked about last time were exercised at profitable rates and the resulting stock found its way into circulation quickly enough to crash the ticker.

Of course, there is no way to be sure that this is precisely what happened, but it certainly looks like a reasonable guess. Further, GNSZ‘s authorized shares are currently as high as 150 MILLION, so there is plenty of room for dilution – which only adds further veracity to the sudden dump theory.

Investors are advised to carefully weigh all the options available to them at this point, and seriously consider the implications of all of the facts that due diligence on GNSZ reveals. The ticker crashed horribly – that much is true, but nothing is to say that it will not make a dead cat bounce before continuing on its downward path – or that it will not make a sudden recovery, flung high by the fickleness of the OTC Markets.

At the very least, GNSZ‘s next few sessions should be interesting to observe.