The electric vehicle sector just got a lot more interesting. On August 22, 2025, NIO delivered the kind of performance that reminds investors why Chinese EV stocks can be such wild rides. What started as whispers about a new product strategy turned into a full-blown market celebration, with one prominent trader helping amplify the buzz that sent shares rocketing.
It's the kind of move that makes you sit up and pay attention—especially when it involves a company that's been quietly plotting its next move against Tesla while the market wasn't looking.
NIO Stock Price Surges on Record Volume
NIO absolutely crushed it yesterday, jumping 14.44% to close at $6.34. But here's what made this rally different: the volume was insane. We're talking 234.5 million shares changing hands—the kind of trading activity that suggests something big is happening behind the scenes.
Trader @StockTickerZone caught wind of the breakout early, pointing followers toward the massive volume spike that was driving the action. When someone with a solid track record starts highlighting unusual activity, smart money pays attention.

The technical picture suddenly looks a whole lot brighter too. NIO didn't just creep above its moving averages—it blasted through both the 50-day and 200-day lines (sitting at $4.26) like they weren't even there. That's the kind of decisive move that turns former resistance into support.
Sure, the RSI hit 76.40, which screams "overbought," but sometimes momentum trumps traditional indicators. When a stock breaks out this decisively, you don't fight the tape.
Tesla Rivalry Heats Up With a Cheaper SUV
Here's where things get really interesting. Word leaked that NIO is planning to launch a budget-friendly SUV, and suddenly everyone's talking about a direct challenge to Tesla's dominance. Barron's picked up the story, and that's when the market really started paying attention.
This isn't just about another EV model—it's about NIO finally making its move for the mass market. While Tesla's been focused on maintaining premium pricing, NIO's betting that cheaper options will unlock massive demand. It's a bold play, but one that could completely reshape the competitive landscape.
The timing couldn't be better either. EV adoption is accelerating globally, and whoever captures the affordable segment first could own the next phase of growth.
Can NIO Sustain the Breakout?
Let's be realistic here—a 14% pop in one day doesn't happen without some profit-taking around the corner. That overbought RSI reading suggests we might see some short-term selling pressure as traders lock in gains.
But here's the thing: if NIO can hold above $5.50-$6.00, this breakout stays intact. Drop below that zone, and we're back to wondering if this was just another false start.
The bigger question isn't about short-term price action—it's about execution. Can NIO actually deliver on this cheaper SUV promise while keeping costs under control? That's what will determine whether this rally has legs or fizzles out like so many others.