The Core Lithium Ltd (ASX: CXO) share price is having a strong session on Wednesday.
In morning trade, the lithium miner's shares are up almost 9% to 25 cents.
Why is the Core Lithium share price jumping?
Investors have been buying the company's shares this morning despite there being no news out of it.
However, it is worth highlighting that a number of ASX lithium shares are rebounding on Wednesday after some very heavy declines in recent sessions.
For example, even after today's gain, the Core Lithium share price remains down by approximately 10% since this time last week and a disappointing 35% since this time last month.
Why are ASX lithium shares rising?
Interestingly, last night was another tough one for lithium stocks on Wall Street. The likes of Albemarle and Livent Corp continued to sink deep into the red.
But over on the Australian share market, it seems that some investors are calling a bottom on the recent selloff.
Another theory is that short sellers could be deciding to lock in their gains after recent declines, which would put extra pressure on the buy side today. As we covered here, Core Lithium is one of a number of ASX lithium shares on the most shorted list.
