> in a rational market.

Unfortunately the market is often not rational in this way.

Hype within retail market means there are suckers willing to buy. Institutional market knows there are suckers when the hype is high. Both would drive the price up, and retail investors the ones left when it falls.

IPOs with massive bags can be wework or spacex, it all depends on vibes. If they buy a couple more articles doomposting and glazing AI on the financial times right before exit they will def find a bunch of boomers to buy their bags. If the narrative changes before they IPO its over.