This week mega cap tech companies are closely watched by the major traders and investors. Indeed, tech is taking over the rest of S&P 500 sections with around 95% of tech giants surpassing profit expectations. Moreover, 88% of companies have exceeded revenue estimates.
Below we will focus on the most anticipated earnings reports expected this week. This information could shed some light on how companies are changing and adapting their strategies to keep ahead their rivals in times of the global pandemic.
Would $1,000 Territory be the Next for Tesla?
One of the planet’s richest men made a sensational crypto-related news once again when a SEC filing shared that Elon Musk’s Tesla Motors (NASDAQ:TSLA) acquired $1.5B in Bitcoin in January. Moreover, the filing also noted that the company is going “to begin accepting bitcoin as a form of payment for our products in the near future…which we may or may not liquidate upon receipt.”
This news became a bomb for the whole crypto industry, with Bitcoin rallying to another record high above $47,000 as of this writing. With this in mind, even more significant implications are expected for Tesla itself.
Other companies that have included Bitcoin into their corporate treasuries have rallied in past months. Let’s consider the most prominent example, MicroStrategy’s (NASDAQ:MSTR) 600% boost during the last six months. With this said, it will take more than the recent allocation for Bitcoin’s price to be a stimulus for TSLA’s stock movements.
The first step would be the company’s foray into accepting the BTC currency as payment for its vehicles. Such a move is expected to be very attractive to a new group of increasingly wealthy crypto customers and proves that Musk and company stick to the cutting edge of innovation.
To sum up, in case TSLA is able to surpass $900, traders could quickly set their eyes on the psychologically-important $1,000 level as the next target. Tesla has been trading in two-digit territory, therefore $1,000 would be quite impressive for it indeed!