Destiny Tech100 Inc (DXYZ), an exchange-traded fund (ETF) heavily invested in technology companies like SpaceX and Tesla, experienced a significant plummet of 7.43% during Monday's intraday trading session. This decline can be attributed to investor concerns surrounding the potential impact of Tesla's recently announced affordable Model Q on the overall technology sector and the fund's substantial exposure to SpaceX.

Tesla, a major holding in DXYZ, saw its shares surge 2.4% in pre-market trading following the revelation of plans to introduce the Model Q, a new electric vehicle model aimed at the mass market with a post-subsidy price below $30,000. While this news initially boosted Tesla's stock, it raised concerns among investors regarding the potential implications for other technology companies, particularly those involved in the electric vehicle and autonomous driving sectors.

DXYZ, with nearly 38% of its portfolio allocated to private shares of SpaceX, faced significant selling pressure as investors grappled with the potential competitive landscape reshaping due to Tesla's aggressive pricing strategy for the Model Q. The fund's substantial exposure to SpaceX, a major player in the space exploration and satellite internet sectors, contributed to the sharp decline as investors reevaluated the competitive dynamics within the technology industry.