Here's the thing about Michael Burry: he's not just a guy who made waves with 'The Big Short'. He’s back in the spotlight, and this time, he's making some serious moves in the market by shorting stocks like Nvidia and Palantir. You might be wondering, what does that even mean? Well, shorting is like betting against a stock, hoping its price will drop so you can buy it back at a lower rate, pocketing the difference. In Burry's case, he's reportedly put options on 1 million shares of Nvidia and 5 million shares of Palantir, totaling around $1 billion in short positions [1][3]. What's interesting is that Burry has a history of predicting market downturns. He famously saw the 2008 financial crisis coming and made a fortune from it. Fast forward to now, and he's warning about what he calls a potential AI bubble. Many people ask whether he's right this time. It's worth noting that while he’s had his successes, he's also been wrong before, so there’s a bit of a gamble involved [2][4]. Let’s break this down a bit more. Burry’s strategy seems to hinge on his belief that the hype around AI stocks is unsustainable. He’s not alone in this sentiment; several analysts share concerns about inflated valuations in tech markets. But here’s the catch: shorting can be risky business. If the stock prices rise instead of falling, those put options could lead to significant losses. So, while Burry's moves might seem bold, they also carry a hefty risk [3][5].