BTC holdings are ~68% of balance sheet, ~34% of market cap, and MSTR is 0% of SPX
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Replying to @macrocephalopod @CautionPesimism
Sure, but BTC is down 4% today and MSTR is down 21% today.
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Again it's way too new on Tesla to even make a correlation trend, but it wouldn't be farfetched to assume that investors on meme stocks react strongly to hints of a BTC drop.
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Replying to @nope_its_lily @CautionPesimism
I would definitely look for interesting BTC/MSTR pair trades!
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Replying to @macrocephalopod @CautionPesimism
I think
@coloradotravis tried shorting MSTR a while ago.3 replies 0 retweets 7 likes -
My point is that this is such a tiny fraction of SPX that it still won't matter. If we say that the BTC portion of TSLA balance sheet trades like BTC but with 10x the vol due to some meme leverage effect, it would increase SPX volatility from ... 20% to 20.01%
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Definitely not disputing your math here. I didn't run any calcs, I just made inferences about what *could* happen.
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m * a * t * h * !
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did you factor in the Elon Musk Risk Premium (EMRP) which means times it by 1000x.
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I did not! In that case I expect SPX vol to immediately go to 72%, brb buying options
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