Coinbase and Tesla stocks rise as the market expresses desire for rivalry.
Summary
Analysis of the macro environment in relation to Coinbase and Tesla stocks
Positive opening in New York in the wake of enthusiasm for the $3.2 billion UBS/Credit Suisse deal benefits Coinbase, but also Tesla.
The news, coupled with the US government’s and the Federal Reserve’s securing of the banking system, brought a flurry of positivity that translated into green-signal listings.
Investors, especially those fond of futures, believe the US central bank will raise rates again after the latest intervention and fear a resurgence of the crisis.
Coinbase (COIN)
Two weeks ago, Cathie Wood’s ARK bought 301,437 shares of the publicly traded exchange for the modest sum of $17.5 million.
The news had brought a significant injection of liquidity that did not stop with this tranche.
Even the ARKK Innovation fund has accumulated shares in the exchange for a sizeable amount.
The amount allocated by the fund was three million US dollars, the equivalent of 52,525 Coinbase shares.
With the latest purchases, Ark with its own investment fund in total reaches 30% ownership of Coinbase.
On a day when all the major indexes are rising (Dow Jones +1.20%, S&P 500 +0.89% and Nasdaq +0.39%) Coinbase in fact remains wait-and-see after a week in which it brought home almost 20% growth.
As of today COIN stock touches €68.95, recovering the level of last November when the reversal of its value had begun.
Tesla (TSLA)
Tesla faces the reverse path from Coinbase showing indifference to the last week for various reasons.
The stock of Elon Musk‘s most successful creature in the last week has risen a meager 0.20% probably due to the composition of its portfolio.
In fact, despite having sold large portions of the Bitcoin it holds on several occasions, Musk’s company remains one of the most exposed companies to digital gold, and this has led to offsetting fears about the financials.
As of today TSLA stock is worth €172.36 and is targeting support of €174.00 after a promising boost that saw it appreciate 1.38%.
Meanwhile, Musk’s well-known meddling on social media that often conveys waves of buying and selling of his own companies seems to have reached a turning point.
The words of the board and the entrepreneur will be the only ones to determine the stock’s declines or rises after Musk had an automated response system put in place for the press that blocks any intervention with a gif depicting human droppings.
Tesla released a new report on the energy efficiency achieved by its best-selling product, the model 3.
The best-selling car in the four corners of the world according to the latest report released by the company has achieved unprecedented efficiency standards.
The Model 3, compared to rival Toyota Corolla for example, turns out to be four times more efficient, with the energy required to heat water for pasta, Musk’s car is reported to travel four times as far as its Chinese competitor.
The last, though not least, news features the notorious Cathie Wood who is the common thread linking Coinbase to Tesla in the sense that the financial shark is also investing in the electric company.
The ARK Innovation ETF ARKK and the ARK Next Generation Internet ETF ARKW in total are optioning 26,700 shares of Tesla worth $4.6 million.
For ARK, it is the second tranche of purchases after the 69,329-share purchase for $12.6 million in the week before the banking crisis.
