Morgan Stanley analyst and Tesla TSLA bull Adam Jonas on Monday noted that the positive correlation between Bitcoin BTC/USD and Tesla shares has been falling to pieces since around the EV company’s third-quarter results.
What Happened: Both Bitcoin and Tesla shares are viewed as gauges to measure investor risk appetite, Jonas noted. The two have historically expressed a positive correlation of over 0.5. However, since September, this has fallen to -0.59.
The crumbling commenced in September, around the time of the company’s third-quarter results, the analyst said. For the third quarter, Tesla reported adjusted earnings of 66 cents per share, down from an estimated 73 cents per share. The revenue of $23.35 billion also fell below expectations.
This was further worsened by the company’s outlook for 2024. The company said in January that it expects the vehicle volume growth rate to be “notably lower” in 2024 than the rate…
