Are these the same shorts who got burned when VELT popped from 3.8 to almost 6? Short are not oracles, and they're definitely less knowledgable about VELT and its prospects than Jeff Ross, and all the insiders who put down millions of their own $$ and bought VELT shares on the open market.
As a rule, shoring stocks is a low reward, high risk strategy which rarely works out over the long-term.
And, VELT is an especially dubious target fotr shorts. It has a forward PE of less than 10 and is growing revenues at more than 50% per year. Plus, there are any number of media/news events (such as the consumer electronics show, VELT's analyst day) that could send the stock much higher. Anybody who shorts VELT at these prices is simply hoping that the crocodiles will eat them last.