Story by: Alex Dovbnya
The shares of Tesla have recorded another double-digit spike, surging to an intraday high of $920.66. This allowed the market cap of the upstart electric car manufacturer to breach the $165 bln mark and briefly surpass Bitcoin (BTC), the number one cryptocurrency.
Tesla continues to rally
The Tesla stock jumped more than 15 percent just one day after many analysts called the top at the $700 mark it managed to breach on Monday. The market cap of the leading automaker has so far increased by more than 100 percent in 2020, leaving short-sellers in disbelief.
By adding around $85 mln this year, Tesla has managed to surpass such juggernauts as Netflix, Nike, and Nvidia. When compared to other car manufacturers, it is now worth more than GM, Ford, Daimler, and Fiat Chrysler combined.
In 2020, Tesla also surpassed Apple, the most valuable US company, in terms of year-to-date market cap gains.
While it’s not actually fair to compare a publicly-traded company to a separate asset class, the fact that it’s about to surpass Bitcoin underscores the power of speculative zeal. As reported by U.Today, Mike Novogratz recently compared Tesla’s rally to the 2017 crypto craze.
Some analysts predict that the Tesla bubble will be as painful for investors as the Bitcoin one. American activist Ralph Nader predicted that Tesla could start a U.S. stock market crash.
Pierre Ferragu of New Street Research doesn’t think that this could be the end of the road for Tesla but he advised investors to take some profits.by