Overreaction is when they are interpreting noises as fears or concerns.

Instead of saying Peter Thiel sold Tesla, Nvidia and Vistra, he still hold Palantir stocks. They focus on "Peter Thiel dump Nvidia." Same for SoftBank

This overreaction is exactly why they exit, because now they can enter back at a discount.

Nvidia Stock Fell After Peter Thiel Dumped His Stake. Why "Everyone" Is Selling

Nvidia stock was edging lower early on Monday after billionaire Peter Thiel’s fund sold its stake in the chip maker.
Nvidia Stock Fell After Peter Thiel Dumped His Stake. Why "Everyone" Is Selling

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