Bullish bets on Tesla stock reportedly made up 50% of all options trades this week as investors cheer EV maker's surge to $1 trillion market cap

• Tesla stock has shot up 20% this week, and investors are betting shares can run even higher.
• Traders in the US options market spent about $1 of every $2 on Tesla options Monday and Tuesday, according to a Wall Street Journal report.

Tesla stock has jumped 20% in less than a week, and investors are betting big in the options market that the rally can be sustained.

Traders in the US-listed options market spent about one of every two dollars on Tesla options on Monday and Tuesday, according to a Wall Street Journal report Thursday citing data from Cboe Global Markets.

On Monday alone, traders spent more money on Tesla stock bets than they did on every single other option in the market combined.

There are more than 5,000 stocks and exchange-traded funds to trade, the report noted. Options give investors the right to buy or sell stock at a specific price and by a specified date.

Tesla marked a milestone on Monday when it surged to a $1 trillion market capitalization just 18 years after it was founded, becoming the second-fastest company to hit that mark. Facebook was the fastest, with the social media giant briefly crossing that threshold in June, or 17 years after it started.

Shares of the electric vehicle maker rose by more than 4% during Thursday's session to an intraday high of $1,081.

And so far in October, Tesla stock has gained 37%, propelled in part by this week's order from Hertz for 100,000 Model 3 cars to add to its rental fleet. The purchase from Hertz, which emerged from bankruptcy four months ago, was worth $4.2 billion for Tesla, according to a Bloomberg report.

The stock was also aided earlier this month by record profit and sales for the third quarter, surpassing analyst expectations. Revenue climbed 57% to $13.76 billion from a year earlier and adjusted earnings rose to $1.86 a share from $0.76 a share.