Gordon Johnson of GLJ Research compared the parabolic appreciation of Tesla’s stock with a bubble. The bubble, which really is “Bitcoin on Wheels”.
Hyperbola? No. According to the technical indicators, the speed and size of the Tesla rally exceeded that of Bitcoin during its peak.
The 14-day RSI is in the zone at 92.5. In December 2017, when Bitcoin soared to $ 19,511, the same RSI indicator could not cross even 91. But in the past, Bitcoin was far more redeemable than Tesla now.
Tesla reached its peak on Tuesday, hitting a high of 968. Thus, the price failed to reach and exceed $ 1000. The event is also reminiscent of the 2017 Bitcoin situation.
Source: Bloomberg Finance L.P.
Graphs: Used with permission of Bloomberg Finance L.P