Graniteshares : Will Rhind, Founder and CEO at ETF provider GraniteShares is warning that Elon Musk’s growing association with cryptocurrencies could lead to growing volatility in Tesla’s share price.
Will Rhind, Founder and CEO at GraniteShares said: “Cryptocurrencies are hugely volatile and although many have seen huge recent growth in their valuations, it is not so long ago when these were rock bottom and people talked of cryptocurrency ‘winters’. I fear that as Elon and Tesla become more aligned to cryptocurrencies, the company’s share price will become increasingly correlated to them and this will bring increased volatility, which will lead to more trading in the stock.”
GraniteShares offers several 3x long and 3X short ETPs on FTSE 100 and S&P 500 single stocks, including Tesla.
The most traded 3x leveraged GraniteShares single stock ETP in 2021 so far is Tesla (3LTS). The value traded in it year to date is $147.5 million, which makes up 66% of all of the trading in its 3X long single stock ETPs.
Similarly, the most traded 3x short GraniteShares single stock ETP in 2021 so far is Tesla (3STS). The value traded in it year to date is $22.4 million, which makes up 41% of all of the trading in its 3X short single stock ETPs.
GraniteShares currently offers 54 exchange traded products (ETPs) listed on the London Stock Exchange. They consist of a suite of index ETPs tracking FAANG stocks and a suite of Short and Leveraged Single Stock Daily ETPs tracking some of the most popular companies in UK and U.S. markets.