Tesla shares fell on Tuesday for the fourth day in a row after its massive sinking on Monday wiped out $ 15 billion of CEO Elon Musk’s net worth.
Shares of the electric car maker fell 13% to $ 619.50 on early trading, placing it below the price at which it entered the S&P 500 index in December.
This followed an 8.5 percent drop in Tesla shares that reduced CEO Elon Musk’s fortune to $ 15.2 billion on Monday, making him the second largest in the world. behind Amazon boss Jeff Bezos, according to the Bloomberg Billionaires index
Musk could be to blame alone. Tesla shares held back after its tweet on Saturday, saying that bitcoin and Ether prices – the world’s two largest cryptocurrencies – “seem high”, raising questions about the value of the manufacturer’s $ 1.5 billion investment. car in the first.
“Since sinking to the deep end of the pool, with its $ 1.5 billion Bitcoin acquisition last month, for better or worse, the company’s shares are now strongly tied to this digital currency,” the analyst said. Wedbush Securities, Daniel Ives, in a research note Tuesday.
A day earlier, Ives had estimated that Tesla posted a $ 1 billion paper profit when buying bitcoin before Musk’s posting helped lower the price of the digital currency, which fell below $ 50,000 early Tuesday morning.
Tesla shares have fallen more than 20 percent since the Silicon Valley titan unveiled its blockbuster bet on cryptocurrencies, which Musk called “a less stupid form of liquidity than cash.”
However, the billionaire technological tycoon remained defiant on Tuesday. When market strategist Peter Schiff pointed out on Twitter that Tesla shares have entered a bear market since the bitcoin announcement, Musk simply answer with an eggplant emoji, which Schiff considered “basically called my dick.”
Tesla was also hit on Monday after the electric press Electrek reported that the company had stopped taking orders for the cheapest version of its Model Y SUV.
Musk appeared confirms the news on Twitter, saying he does not believe that “the range, in many driving conditions, still meets the Tesla standard of excellence.” He said the model is still available “off menu”.