The biggest beneficiary of the U.S. presidential election results isn't the cryptocurrency market, especially Bitcoin, which surpassed a record $93,000 just last week, but Elon Musk.

He put himself in a difficult position by supporting one of the candidates. If his candidate had lost, his personal life and the fate of his companies would have taken a sharp downturn.

But the gamble paid off, and his $130 million investment, thanks to a nearly 30% increase in Tesla stock price, turned into approximately $41 billion. As a result, his net worth has surpassed $300 billion.

On Monday, the electric vehicle maker's stock rally continued, fueled by a report that Trump's transition team plans to prioritize the creation of a federal framework for regulating self-driving vehicles.

Some believe this could be a significant boost for Musk’s Tesla, as it might allow the company to roll out a fleet of “robotaxis” — autonomous vehicles that can transport people without human supervision.

Will the optimism in Tesla stocks persist?

Given Musk's friendship with the president, which many believe will support the growth of his businesses and initiatives, the answer seems to be a resounding yes, but the reality could be different.

The problem is that Trump's presidency also presents risks for Tesla. Specifically, if trade wars with China resume, Musk's company could become the scapegoat.

About a third of Tesla's revenue comes from sales in China, and replacing that market would be difficult. In addition, many components for making vehicles in the United States also come from China.

So, if tensions between countries rise, not only could Tesla's production costs increase, but the company could also lose the support of the Chinese government or even face worse consequences.

Another risk is that Trump will reduce or eliminate Biden's $7,500 tax credit for electric vehicles. Scrapping the subsidy could hurt Tesla's sales, negatively impacting its bottom line.

However, Musk himself has said that such a move could wipe out Tesla's U.S. competitors in the EV market, such as General Motors, Rivian, and Lucid. Not surprisingly, the volatility of those stocks would skyrocket.

According to 13F filings, hedge funds jumped into bets on Tesla shares before the rally following Trump's victory in the U.S. presidential election. However, whether they still hold those positions is a mystery.

With that, one must remain wary of the news.