The initial drop in Airbnb's stock price was due to a downgrade by Needham, a significant factor that usually influences investor sentiment negatively. However, the reversal and subsequent trading higher indicate a strong investor confidence in Airbnb's fundamentals or market conditions that outweigh the negative impact of the downgrade. This resilience in stock price could be attributed to underlying strengths in Airbnb's business model, recent positive financial results, or broader market trends favoring tech stocks.