RE:This is an market based on emotion.Great write up!
Mainly I suspect that alot of people sell (and dont invest in battery metals) because alot of people arent long term investors.
Also - Fund managers are the ones that handle the big sums of money - with many handling close to $1B of investor money. They are the ones that can really move the stock price. They are graded on a quarterly basis - its their score card. For the sake of their job, they cant defend huge losses on their ledger for over 3-6 quarters. This is the main advantage that retail investors have over big fund managers - we can be nimble and efficient (as long as we beleive in the thesis of our investment and hold strong).
Everything that you are saying is correct - the need for battery metals isnt going anywhere. But Junior mining is considered risky due to the many that fail - so even retail investors often take money out of their "risky" plays during recessions.
If one can afford it - it is a great buying opportunity!