Tesla stock is a favorite among retail traders, and a drop set off by the Trump-Musk feud could be a catalyst for a market pullback, Marko Kolanovic said.

Traders dumped Tesla after Musk quickly responded to Trump's criticism with social media posts that stepped up criticism of the president's tax bill.

Investors in the EV company have already been through a volatile ride this year. Now its CEO is publicly jousting with the president of the United States. The most powerful man in the world and the richest man in the world finally turned on each other.