Elon Musk is known for provoking strong responses, often impacting both the cryptocurrency and stock markets through his social media posts and interviews. Consequently, many investors closely monitor his actions to capture profits or mitigate losses.
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Here are some ways Musk might disrupt the stock market in 2025.
Musk frequently discusses his vision for X expanding beyond social networking, potentially resembling China’s WeChat, which facilitates activities ranging from messaging to bill payments.
He aims to enable transactions on X, possibly through an integrated wallet or a new digital currency. X has announced a partnership with Visa to create a payment platform, and while cryptocurrencies are currently not included, reports suggest they may be part of future plans.
Musk has previously affected the cryptocurrency market; for instance, a single tweet resulted in a surge in Dogecoin’s price. If Musk incorporates Bitcoin or other cryptocurrencies into X’s payment system, it could elevate their values significantly. Efficient and affordable payments on X could also challenge competitors like PayPal and Block, potentially leading to a drop in their stock prices as they lose users.
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Tesla stock prices have skyrocketed in recent years, with the company’s market capitalization approaching nearly half of the global automotive industry, according to Visual Capitalist.
Many perceive Tesla as a tech entity rather than just a car manufacturer. Some believe that the company’s profits will eventually align with its soaring stock price as it becomes an industry leader in electric vehicles (EVs). However, with increasing competition from both U.S. and Chinese firms and a decline in Tesla’s sales, Musk has made more ambitious promises to sustain the stock’s value. In recent earnings calls, he suggested that autonomous robots could emerge as the company’s primary product, promising substantial profits.
Should investors begin to question Musk’s commitments, the repercussions could significantly affect Tesla’s stock price. If they start valuing Tesla like a traditional automaker, the share price may witness a considerable drop.