- Elon Musk is back at it again with political ambitions that threaten to hemorrhage Tesla stock price days after robotaxi pilot launch.
Tesla stock price is down in the pre-market session on Monday as investors tame their appetite for the stock on the back of CEO Elon Musk’s signaled return to active politics. The EV maker’s stock was at $295 and down by 6.3% , less than three hours before the New York trading session opened. Musk stated over the weekend that he intends to form a new political party called “America Party”, with which he seeks to challenge the dominance of the two primary parties in the United States, The Republican Party and Democratic Party.
Musk’s fallout with US President Donald Trump was seen as having been a blessing to Tesla investors as they had hoped that he would dedicate more of his time to help return it to the growth path. However, he has now stirred the waters with his latest announcement, which could escalate his feud with Trump and bring more bad publicity to the company. Trump already threatened to order scrutiny of government contracts won by Musks’ companies, including SpaceX.
In addition, analysts opine that the negative publicity stemming from Musk’s stint at DOGE could gather a stronger momentum if he decides to pursue his political interests. Already, the company’s falling sales in Europe are blamed on his partnership with Trump. Tesla (NASDAQ: TSLA) delivered 383, 100 units in Q2 2025, translating to a 13.5% YoY decline. A break below the psychological $300 support mark today adds downward pressure and could see Tesla stock price subdued for days.
Tesla Stock Price Prediction
The momentum on Tesla stock price favours the sellers to be in control below the $300 mark. That will likely see primary support established at $292. Breaking below that level will signal a stronger momentum that could extend the downside and test $290.
On the other hand, action above $297 will signal a shift to the upside. In that case, TSLA price will likely encounter the first resistance at $300. Action above that level will invalidate the downside narrative. In addition, the resulting momentum could push the stock higher and test the second hurdle at $304.
