Tesla Stock Suddenly Plunges As Much As $100 In Seconds
Having traded as high as $969, a move of almost $200 higher on the day, and hitting a market cap of $175 billion, Tesla stock suddenly collapsed just around 3:50pm, dropping as much as $100 from $960 to $860 in seconds, in what can only be described as the mother of all red candles…
… on a burst in volume, with over 2 million shares hitting the tape in the last few minutes of trading.
Putting that move in context, Tesla lost roughly $20BN in market cap in just that one drop, or as much as the entire market cap as Fiat Chrysler.
Both longs and shorts scrambled to find any news for the move, although despite a vague rumor of a follow-on offering, there was none, even as Tesla dumped back to its cash open levels, before recovering modestly.
And while investors try to find the reason for the furious liquidation, one place that may provide a hint for the stock’s massive ramp higher in the past few days comes from google’s autocomplete function, which now shows the following when googling “Should I Buy…”
Tue, 02/04/2020 – 16:07