Produce a write-up of about 1000 words

In January 2021, a short squeeze of the stock of the American video game retailer GameStop (NYSE: GME) and other securities took place, causing major financial consequences for certain hedge funds and large losses for short sellers. Explain the case of Gamestop, AMC in light of short selling in detail explain what happened, what went wrong, what can you learn from the case, try to relate the case to what you have learned in the Financial derivatives class.