Tesla investors sue Elon Musk for diverting resources, talent to xAI

June 14, 2024 Coin Telegraph

Tesla earnings: Bitcoin bags untouched as firm splashes out on AI

October 19, 2023 Coin Telegraph

Bitcoin

Tesla held onto its sizeable Bitcoin bags in the third quarter and upped its spending on artificial intelligence and research and development.

Electric vehicle maker Tesla made no changes to its sizeable Bitcoin (BTC) holdings — the fifth quarter in a row — though it has directed more funds to double its computing capacity amid artificial intelligence efforts.

Tesla’s Q3 2023 results released on Oct. 18 show as of Sept. 30, it held $184 million worth of digital assets — a portion of the $1.5 billion worth of Bitcoin it first bought in March 2021.

The latest quarterly results mean it hasn’t bought or sold any Bitcoin since its sell-off of around 75% of its holdings in Q2 2022 when it fetched $936 million for more than 30,000 BTC.

*Excerpt of Tesla’s Q3 2023 balance sheet with its digital asset holdings highlighted. Source: Tesla*

On the other hand, Tesla reported it had “more than doubled the size” of its computing power for its AI projects, citing a growing training data set and switching the training of its humanoid robot Optimus to AI rather than coded software.

“We have commissioned one of the world’s largest supercomputers to accelerate the pace of our AI development, with compute capacity more than doubling compared to Q2.”

Tesla saw its third-quarter earnings and profits miss Wall Street estimates, with reported total revenues of $23.35 billion. While this was up by nearly 9% from the prior-year period, it missed Zacks Investment Research’s estimate of $24.38 billion.

It also missed projected profits, with reported earnings per share (EPS) of $0.66 compared to Zack’s $0.72 EPS estimate.

Total third-quarter operating expenses came in at $2.41 billion, marking more than a 13% increase from last quarter and over a 42.5% increase from the prior year.

Tesla’s research and development expenses were $1.16 billion in the quarter, a 58% jump from last year. It attributed the increases to its “Cybertruck, AI and other R&D projects.”

*Tesla (TSLA) shares continued to fall after the bell to a low of $230.19. Source: Google Finance*

Tesla shares were down nearly 4.8% on the day, closing at $242.68 and fell a further 4.25% in after-hours trading to $232.37 per Google Finance data.

Magazine: NFT Collector: Creative AI art, Tomorrowland sells tomorrow’s future

Tesla turns tables on Bitcoin as 2023 gains outpace BTC price comeback

January 13, 2023 Coin Telegraph

Bitcoin

It’s a game of cat and mouse for BTC price and TSLA stock this month, but so far, Tesla is staging a stronger rebound.

Bitcoin (BTC) may be up 16% in 2023, but one stock it outperformed last year is now getting its revenge.

Data from Cointelegraph Markets Pro and TradingView shows that for all its newfound strength, Bitcoin is still playing catch-up.

Tesla up almost 25% from January low

Tesla was in the headlines throughout 2022 as its rapid rise to prominence — and stock price gains — steadily unwound.

Despite CEO Elon Musk making history with his personal wealth losses, Tesla (TSLA) has so far recovered by almost 25% since Jan. 6.

*TSLA/USD 1-hour candle chart (NASDAQ). Source: TradingView*

Amid an atmosphere of declining inflation in the United States and a surge in the price of safe-haven gold, the stage is arguably set for a broader risk asset rebound.

After seeing grim year-on-year losses of nearly 65%, BTC is also keenly eyeing the potential for growth, having begun 2023 with a dip below $16,500.

Local highs of $19,112 on Bitstamp marked new year-to-date returns of 16.8% — a refreshing change for hodlers — but behind TSLA in terms of lows to highs as of Jan.12.

*BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView*

Nonetheless, analysis continues to focus on the two assets’ broader correlation.

“Crypto has been largely correlated to tech for the last few years but the BTC chart overlayed on TSLA is actually crazy,” popular Twitter account Bluntz commented on a combined chart earlier in the month.

*BTC/USD vs. TSLA/USD 1-week candle chart. Source: TradingView*

Tesla still a “buy " for ARK

Not everyone is concerned about which horse wins the race in the short term.

This month, ARK Invest, the asset management giant famous for its bullish stance on Bitcoin, added TSLA to its holdings.

On Jan. 11, ARK purchased over 22,000 shares in its most recent addition to its portfolio.

As Cointelegraph reported, ARK turned heads in recent months thanks to its increasing exposure to the Grayscale Bitcoin Trust (GBTC), the embattled Bitcoin institutional investment vehicle that trades at a heavy discount to the Bitcoin spot price.

*GBTC premium vs. asset holdings vs. BTC/USD chart. Source: Coinglass*

The views, thoughts and opinions expressed here are the authors’ alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Bitcoin (BTC) Set To Vastly Outperform Gold, According to Top Bloomberg Analyst – Here’s Why

December 11, 2022 The Daily Hodl

Current Economic Conditions Make Top Analyst ‘Amazingly Bullish’ on Crypto and Tech Stocks – Here’s Why

April 18, 2022 The Daily Hodl

Bitcoin falls from $66K highs, Tesla down 3% after Elon Musk warns he could sell more stock

November 15, 2021 Coin Telegraph

Bitcoin

It's a familiar scenario to start the week as Bitcoin follows TSLA downhill after rallying overnight.

Bitcoin (BTC) tested $65,000 as support as United States markets opened Nov. 15 with a weekend surge that ended in a retracement.

Analysts maintain positive BTC price outlook

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD giving back a chunk of its overnight gains, having hit local highs above $66,000.

In a move away from recent patterns, the pair failed to rally further into the start of trading on Wall Street, instead eyeing April's old all-time high.

For Cointelegraph contributor Michaël van de Poppe, higher levels were more important for the preservation of an overall bullish momentum in the short term.

"Still looking at a potential rising wedge structure here," he summarized, alongside an annotated chart.

"Clear bullish breaker if Bitcoin breaks above $66.4K–$66.8K."

Elsewhere, attention focused on indicators, hinting that there could be more room for price growth before classic cycle top signals appear.

Highlighting the Spent Output Profit Ratio (SOPR), Philip Swift, creator of data resource Look Into Bitcoin, contrasted the state of the current market with the "overheated" atmosphere of early 2021.

"These on-chain daily p/l levels are so low. Yesterday was close to negative again. We are far from the overheated levels that you see on left-hand side of chart," he commented.

"With funding pretty flat too, probably not much longer before we start meaningfully trending up again."

*Bitcoin SOPR chart. Source: Philip Swift/ Twitter*

SOPR takes a look at the price at which coins moved over a particular time, and is useful in determining investor behavior at different segments of Bitcoin's price cycles.

Fresh Tesla dip proves testing for crypto

Ether (ETH), Solana (SOL) and Polkadot (DOT) were the leading major altcoins on the day, standing out from the flat progress of other tokens.

Up 2.6%, ETH/USD traded above $4,700 at the time of writing, closing in once again on both all-time highs and the watershed $5,000 mark.

Want me to sell more stock, Bernie? Just say the word …
— Elon Musk (@elonmusk) November 14, 2021

On traditional markets, Tesla (TSLA) fell over 3% at the U.S. market's open, a move which saw copycat behavior from Bitcoin, as was the case last week.

In a somewhat heated Twitter exchange, CEO Elon Musk threatened to add to his existing stock sell-offs.

*TSLA 1-day candle chart. Source: TradingView*

Elon Musk offloads $1.1B in Tesla stock

November 11, 2021 Coin Telegraph

Bitcoin

The eccentric billionaire polled his Twitter followers but already had the sale planned due to tax obligations.

Tesla CEO Elon Musk has offloaded more than one billion dollars worth of shares according to recent financial filings.

Filings submitted on Nov. 11 to the Securities and Exchange Commission confirm the sale of more than 934,000 Tesla shares worth around $1.1 billion.

Musk sold the shares at an average price of around $1,170, locking in almost 180% in gains in prices over the past year. It is just the third time Musk has sold company stock since Tesla went public on the Nasdaq in 2010, and it is his largest transaction.

The filings show that Musk planned to sell the stock as part of his tax obligations back in September. He polled his 63 million followers at the weekend, asking whether he should sell 10% of his Tesla holdings. Of the 3.5 million respondents, almost 58% said yes. However the Tesla CEO has sold less than 1% in this sale and still holds more than 170 million shares.

Much is made lately of unrealized gains being a means of tax avoidance, so I propose selling 10% of my Tesla stock.

Do you support this?
— Elon Musk (@elonmusk) November 6, 2021

In response to the poll, he noted “I do not take a cash salary or bonus from anywhere. I only have stock, thus the only way for me to pay taxes personally is to sell stock.”

In the days following the poll, Tesla stock slumped 16% to dip below $1,000 briefly on Nov. 10. TSLA had hit an all-time high of $1,230 on Nov. 4 and it is currently around 11% down from that peak.

There has been speculation — hopium really — in crypto circles that he may put some of that cash into digital assets. Mr. Whale asked his 357,000 followers: “Which cryptocurrency should he buy to make himself the first-ever trillionaire?”

MicroStrategy CEO Michael Saylor suggested he buy more Bitcoin following the Twitter poll but before the news emerged about this sale:

“If the goal is diversification, an alternate strategy to consider is converting the $TSLA balance sheet to a Bitcoin Standard and purchasing $25 billion in $BTC. That would deliver diversification, inflation protection & more upside for all investors in a tax efficient manner.”

According to BitcoinTreasuries, Tesla currently holds 43,200 BTC worth an estimated $2.79 billion at current prices.

Crypto-exposed stocks slide as BTC-bolstered treasuries shed value

May 25, 2021 Coin Telegraph

Coin Telegraph

Many stocks of publicly traded firms that are exposed to Bitcoin have suffered significant drawdowns this month.

The fallout from this month’s violent crypto market meltdown appears to have flowed into the stock markets, with publicly-listed firms with exposure to crypto assets seeing significant losses during May.

The month saw Bitcoin and other leading cryptocurrencies crash by at least 50%, with BTC plummeting from roughly $60,000 on May 10 before bouncing off support at $30,000 last week.

The largest publicly traded firm by number of BTC held in its reserves, MicroStrategy (MSTR) saw its share price slump from $657 at the end of April to roughly $450 as of May 21 — a 31.5% drawdown in three weeks. However, MSTR appears to have benefited from Bitcoin’s 50% bounce from the weekend’s lows, having gained nearly 5% in the last 24 hours to last change hands for $472.45.

According to Bitcointreasuries.org, MicroStrategy’s 92,000 Bitcoin have appreciated in value by roughly $1 billion combined despite the crypto crash.

Tesla (TSLA) also took a beating this month, with its shares tanking 18% from $709 at the end of April to $581 on May 21. TSLA has also rallied 4.4% in the past day to last trade for $606.44.

Despite Tesla suspending Bitcoin as an accepted method of payment for its vehicle fleet on May 12, the firm is yet to announce it has sold any of the 43,200 BTC from its reserves. Bitcointreasuries estimates Tesla’s BTC stash has increased in value by 10% since the vehicle manufacturer invested $1.5 billion into Bitcoin.

However, not every firm that purchased Bitcoin in recent months is sitting in profit, with Chinese smartphone manufacturer and app developer, Meitu, having invested $49.5 million near BTC’s all-time highs during March and April. While the firm’s BTC hodlings are now worth $35.9 million, Meitu has also seen its share price plummet 19% from roughly $0.31 to $0.26 since the end of April.

Japanese online gaming firm Nexon also announced an ill-timed $100 million BTC purchase on April 28, with the firm’s Bitcoin stash now valued at just $67 million. Nexon’s share price has since tanked 29.5% from $33.35 at the end of April to $23.49 today.

However, some analysts believe the sell-off in the tech and crypto sectors may be exacerbated by concerns regarding inflation.

Speaking to Reuters, David Mazza, the managing director of leverage ETF issuer, Direxion, speculated that “Higher-risk assets, whether in the form [...] of cryptocurrencies or the more speculative growth stocks, are seeing their multiples taken down markedly as investors begin to reassess what impact the potential for inflation will have.”

TSLA

Tesla up almost 25% from January low

Tesla still a “buy " for ARK

Analysts maintain positive BTC price outlook

Fresh Tesla dip proves testing for crypto

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