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  • What are the two most volatile investments ever? Tesla and bitcoin. Out of all the investments you  

  • could ever make, there are literally no other  investments that are as volatile as these 2.

  • Bitcoin just a year ago used to cost less than 10K  and now worth over 50K. And since the beginning of  

  • the year, the price has doubled. But what happens if these two  

  • super volatile assets merge? That sounds like a recipe for disaster, but  

  • that's exactly what happened in the last few days. Elon Musk announced that you can now buy a Tesla  

  • with bitcoins. You don't have to  convert your bitcoins to US Dollars  

  • to buy a Tesla. Just send your bitcoins to  Elon Musk's pocket directly and get your Tesla

  • This is insaneAn asset that you use to worth  

  • 4K less two years ago now can get you a brand new  Tesla. I can't believe that something like this  

  • is actually happening. These are the times when  you feel like you should have spent every penny  

  • you had to buy bitcoins. But I think we are late  to the party unless you believe that bitcoin is  

  • going to cross $100K or a million-dollar like some  people claim. But you know what's more important  

  • than that? Is hitting that like button. That's the  best way to let me know that you enjoy our videos

  • Imagine the people who use to mine bitcoins  every day back when bitcoin wasn't a thing.  

  • Back when you could mine multiple bitcoinsday. One hour of mining bitcoin in 2012 now  

  • can get you a brand new Tesla in 2021. if 2020 was  hilarious, then 2021 is going to be much more fun.  

  • Crypto guys are having their best year ever, but  that doesn't mean that the next year isn't going  

  • to be better. Only time will tell. For those who  are interested in bitcoins, we made an entire  

  • video bout how to buy bitcoins, how to store  bitcoins, how to make sure your bitcoins are safe.  

  • The link will be in the description. But what's more insane than that is,  

  • Tesla's bitcoin investment reportedly made  more profit this year than car sales in the  

  • whole of 2020. tesla is an auto manufacturerYou assume that their primary source of income  

  • is probably selling cars, but apparently, it's  not. Even if you argue that it's a tech company,  

  • you still wouldn't think that its  major source of income is bitcoin

  • I am not trying to downplay Tesla or be negative  about it, but I find that pretty hilarious

  • Tesla disclosed in an SEC filing on Febthat it purchased $1.5 billion of bitcoin

  • If its holding has remained the same size, it  will reportedly have made a $930 million profit

  • That's almost 30% more than the  company made from car sales in 2020, 

  • If  

  • bitcoin keeps growing at this rate, then  Tesla will soon become a Crypto company.  

  • He is giving bitcoin a lot of legitimacy because  if such a huge company is investing in bitcoin  

  • and accepting it as a form of currency, that  could push a lot of other companies to follow  

  • in teslas footsteps. It's still early to make any  predictions because the market is still unstable,  

  • and we will have to wait and see what happens  when the economy stabilizes, what will happen  

  • to bitcoin and Tesla when the fed will raise  interest rates to at least one or even 2 percent.  

  • But that's not what I want to talk about in this  video, but rather about Cathie Woods's new Tesla  

  • target price, which is 3000 USD. 
 

  • She thinks that Tesla is going to cross  3000 Dollars by 2025. just a little context,  

  • last year, before Tesla's stock splitARK investment estimated that in 2024  

  • Tesla's share price would hit $7,000 per share or  $1,400 adjusted for its five for one stock split

  • If you treat Tesla as an auto manufacturer, then  this valuation will never make sense. However, ark  

  • invest is looking at Tesla as a future tech giant  that's taking a completely different approach,  

  • and it has the potential to change the  world. We are still a fossil fuel society,  

  • so if Tesla would become the major player to  transition the world into sustainable energy,  

  • it will be worth far more than 3 trillion dollarswhich will justify its 3K dollar stock price

  • Last year Tesla produced around half a million  cars. By 2025, Cathie woods believe that number  

  • will grow to 10 million cars at best case  scenario to finally match industries leader  

  • Toyota, which sold almost 10 million cars globally  despite the pandemic. In the worst-case scenario,  

  • it will produce 5 million. That sounds realisticBut we can't compare Tesla to traditional  

  • automakers because they are in a comply different  business, and I am going to explain why

  • Tesla's main business isn't cars but batteries  and data. Think of Tesla as an energy company  

  • because eventually, what they are doing is  creating a pretty similar product with a  

  • giant battery that you can recharge at any  of its superchargers across the country

  • Today's energy giants are Exxon Mobile, ShellChevron, and they are valued at over 200 billion  

  • dollars each, although they don't have much  future. First of all, oil is a finite resource.  

  • Secondly, as the world moves to renewable energythese companies are going to shrink, of course,  

  • oil isn't going to go anywhere anytime soon, but  its usage will diminish greatly. Theoretically,  

  • Tesla has the potential to take over their  entire market in the next two decades,  

  • but that's just a small part of it because if you  take a look at the world's largest oil company  

  • Saudi Aramco. It's valued at 2 trillion  dollars which tells you how big this market is,  

  • and every oil country has its own local company  that controls a certain chunk of the market and  

  • is valued at dozens of billions of dollars, if not  hundreds. The problem with teslas competitors is  

  • that they got into the game too late, and Tesla is  so far ahead in this game that it's impossible for  

  • any company to catch it any time soon. When Tesla announced that it's going  

  • to build a Gigafactory, it was unclear  whether it was the right decision or not,  

  • but it seems like Gigafactory is Tesla's strategy  to transition the world to sustainable energy.  

  • Instead of reinventing the wheel every single  time, they just built a factory that efficiently  

  • builds cars, battery packs, energy storage  products, Powerwall, and all that is left for it  

  • is to build as many Gigafactories as possibleThe company has become so efficient that they  

  • built their china Gigafactory in around a yearthen in the middle of a pandemic, Tesla announced  

  • that it's going to build its next Gigafactory in  Berlin, which is set to open in July this year.  

  • At this speed, it's pretty easy to imagine that  within the next 5 or 7 years, the company will  

  • build a dozen Gigafactories and will meet Cathie  Woods's prediction of 10 million cars a year

  • Ark Invest also bets on Tesla's autonomous  technology. Remember when Elon Musk said,  

  • your Tesla could be earning you money when  you are not using it because it will drive  

  • people around like an uber. It sounds  a bit futuristic, but theoretically,  

  • it's possible, and eventually, that's where  the industry is headed to. So by 2025,  

  • the company should have reached level 5 autonomy  which sounds reasonable but not practical since  

  • the industry is over-regulated and since Cathie  Woods predicts that ride-hail would account for  

  • the majority of Tesla's enterprise value in 2025,  it makes her prediction a little over optimistic.  

  • I don't doubt Elon Musk, but I think  that's going to take a little longer.  

  • Nevertheless, if you are playing it  long-term, then you shouldn't care

  • If you want to learn more about Tesla, then  check out my video on our second channel,  

  • which link I will leave in the descriptionThere are a few other things I wanted to talk  

  • about, such as how the price of your coffee  could skyrocket because, unfortunately, a ship,  

  • a containership, is stuck in the Suez Canal and  is stopping the rest of the ships from crossing  

  • the route which could cut the supply chain  and cause a shortage of coffee in the market

  • We complain about a 5 dollar coffee. Now we might  start having 20 or 30 dollar coffees, who knows!  

  • Well, we might talk about that in a future videoMeanwhile, if you want to know where the stock  

  • market is headed to, I made an entire video about  that a few days ago, so make sure to check it out  

  • but most importantly, give this video a thumbs up  as usual and subscribe if you are new around here

  • Thanks for watching andwill see you in the next one

What are the two most volatile investments ever? Tesla and bitcoin. Out of all the investments you  

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Tesla's New Insane Stock Price - $3 Trillion!

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    Summer posted on 2021/03/30
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