The Tesla share price dived into negative territory this Monday after the company revealed that its latest Bitcoin sales resulted in a $170 million loss in the year’s first half. Tesla had invested an aggregate of $1.5 billion in Bitcoin in the first quarter of 2021.
The negative sentiment in the Tesla share price also follows a viral Wall Street Journal report of a reported affair between Tesla CEO Elon Musk and Nicole Shanahan, wife of Google co-founder Sergey Brin. Sergey Brin was one of Tesla’s early investors and could reportedly pull his investments in Tesla, netting hundreds of millions if he does. Musk has denied the rumours, which only came to light following Brin’s application for a divorce.
The Tesla share price had only recently surged 9.78% after stellar quarterly earnings. This has been the major positive event in a July that has seen the Tesla share price face a number of headwinds.
Musk’s cancellation of the Twitter buyout, the Bitcoin liquidation that resulted in a loss and a second SEC subpoena issued to the company over a 2018 tweet my Musk are troubles the stock has had to deal with. It closed out Friday’s trading 0.2% higher after the bears covered most of that day’s opening gap. It is now down 0.18% as of writing.
The breakout move from the symmetrical triangle has stalled at the 828.50 resistance. The pinbar at that price level has given way to the bearish candle of the day. The corrective move toward 779.23 (9 May low and 31 May high) must break down that pivot to give the bears access to the 726.65 support (2 June/8 July 2022 lows). Below this level, additional harvest points for the bears are seen at 693.75 and 628.76 (16 June low).
On the other hand, a break above 828.50 is needed for the bulls to access the 3 March/6 May highs at 888.37. Above this level, 949.96 (7 February/5 May 2022 highs). 1025.26 becomes an active price target if the price advances beyond the 949.96 price mark.
This post was last modified on %s = human-readable time difference 17:03