There was a breaking news that just came through just about 5 10 minutes ago and you’ll notice that the price is a trading higher pre market. As of the time of this video, we are up close to two and a half percent trading, all the way as high as 872.50, so i’m gon na break down that news, i’m gon na come back to my trading view platform to do a complete technical analysis To map out some key support and resistance levels and what we need to watch moving forward for this week for tesla stock, as always, if you guys enjoyed this video, make sure that you drop a like it really helps out with the channel also subscribe. If you’re new to the channel and hit that notification bell, so you don’t miss out on any future market updates and videos related to investing and technical breakdowns, all right guys. So this right here is going to be the piece of news that actually came out today on february, 8th 2021 at 6, 23 p.m, so i’m, going to be indian standard time, so right about 6, 30 p.m, that’s going to be roughly at about 8 a.m. Eastern and you’ll notice how tesla invests 1.5 billion dollars in bitcoin and plans to accept crypto cryptocurrencies, so this story is still developing. So we don’t have a lot of news related to this, but you’ll notice. How tesla has invested close to 1.5 billion in bitcoin and expects to start accepting the cryptocurrency as payment bloomberg, news reports and prices for the digital assets surged to a record above 43, 000 per bitcoin after the news came out.
So this right here again is going to be my trading view platform. If you want to get started, the link is going to be down in the description below, so we are looking at the tesla as a stock price on the left. So this right here is going to be the 30 minute time frame, so let’s go over to the five minute chart. You’Ll notice is sutton spike and the price coming in at 7 40 a.m. Eastern and this right here is the cryptocurrency bitcoin again, we are surging over 7 40 a.m. Eastern, so you’ll notice how massive spike in volume – and we broke past forty – two thousand dollars per bitcoin up over ten percent as the most recent trading price. So this right here again tesla moving higher up over two percent pre market, and if i go over to the four hour chart, this right here again is going to be the complete technical breakdown. The most important resistance we need to watch for tesla moving forward is going to be this level right here at close to 885 dollars per share, because that level you guys know, has acted as a significant resistance in the past. We have gotten rejected at that very level, so going back as far as january, 8th this right here going back as far as january 22nd, so we had a double top resistance at that level for tesla before selling off all the way down to the support.
At close to 800 dollars per share now, this is something that they are doing very similar to square now square, also, if i’m not mistaken, invested in bitcoin, and they were kind of allowing people through the cash app to basically buy and sell bitcoin and cryptocurrencies as Well so, in my opinion, this is both good and bad and there’s pros and cons to both, because if you guys remember correctly when we saw the prices for cryptocurrencies pull back. So if i go back over to the bitcoin chart, you’ll notice that going back over to the four hour chart. This right here is again hitting a new all time high for crypto currencies, but when we did drop so this right here is coming back from january. 8Th bitcoin essentially dropped all the way to lows of 29 000. Once again, we dropped close to 29 that also had a pretty significant impact on square stock as well right. So if you go over to ticker symbol, sq you’ll notice that square also kind of pulled back during that same time period and we were down close to over 19, almost 20 percent and right now we are surging higher once again because of how much squares price Is now getting tied to kryptos as well so that’s going to be, in my opinion, both pro and a con, because, again, if cryptos are pushing higher, we could see a potential breakout and some upside potential for both the square and tesla as well.
But times like these, when bitcoin essentially drops or cryptos, essentially pull back that can potentially have a negative effect or an impact on the prices of these stocks as well, because these companies are also investing in cryptos as well. So their balance sheets gon na take a hit. Their assets are gon na, take a little bit of a drawdown as well so that’s, something to consider uh moving forward. Now, of course, we expect bitcoin and cryptocurrencies and bitcoin more specifically, to hit as high as 100 200 200 000 in the future, because there’s limited supply and it’s known to be a perfect hedge against a lot of different asset classes, including the us dollar and inflation. So again, that’s going to be a topic and a discussion for a separate video i’m not going to go into too much detail on cryptos. But i just wanted to bring this to your guys’s attention again, going back over to tesla tesla, again you’ll notice that it is trading higher up over 2.79, almost three percent uh pre market. As of the time of this video pushing higher well over 875 dollars per share, this right here is going to be a more near term. Support to watch for tesla it’s, just going to be sitting at close to 835 848 per share and moving forward, keep a close eye at 885 per share today, maybe the day we successfully close above that resistance for tesla to continue to push higher break out and Make new all time highs over 900 dollars per share i’m still in the process of accumulating more shares.
I want to really want to get a position up to 100 shares for tesla stock, but it’s going to be very, very difficult if the stock keeps hitting new. All time highs so 799 800 that’s going to be my first purchase point if you do see a retail down to that level, but even if you get down to 775 or even as low as 695 or 700 per share, that’s going to be a very, very Interesting buying opportunity, in my opinion, for tesla stock and is going to be represented by this green rectangle as an area of support and our strongest bull can for tesla moving forward so now we’re almost up over three percent. So i hope you guys enjoyed this video and found this helpful. I will be doing a separate video on a tesla square and kind of going over how that relates to cryptocurrencies in a separate video in more detail as well. So again, if you guys enjoyed this video make sure you drop a like, it really helps out with the channel and recommends this video to other people who might be interested in watching also make sure that you subscribe if you’re new and hit that notification bell.