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It seems like Elon Musk will be obliged to close his Twitter deal after he lost $7 billion worth of Tesla stock, according to a Wednesday note from Wedbush.

The richest man in the world and CEO of Tesla said on Twitter that his sale of Tesla stock in the last few days was “to avoid an emergency sale of Tesla stock” if he’s forced to purchase Twitter and some of his quity financings fall through. 

According to Wedbush analyst Dan Ives, Musk's Tesla stock sale is "writing on [the] wall [that a] deal could be in the cards," the note said. Ives raised his Twitter price target to $50 from $30, just shy of Musk's agreed-upon buyout price of $54 per share, or about $44 billion.

"The Street and legal experts across the board view Twitter as having a 'strong iron fist upper hand' heading into the Delaware court battle this Fall after months of this fiasco and nightmare playing out since April," Ives said, adding that "Twitter's board is holding Musk's feet to the fire to finish the deal at the agreed upon price."

Musk has been trying to step off from the Twitter deal, arguing that there are more bots on Twitter's platform than initially disclosed. 

Ives' sees four different scenarios playing out for Musk and Twitter as they potentially seek a settlement before reaching the courtroom.

Scenario 1: "Deal ends, Musk pays $1 billion breakup fee and walks (very low likelihood in eyes of the Street)."

Scenario 2: "Specific performance' uphold by the court; Musk needs to buy Twitter at $54.20 in the $44 billion agreed upon deal (high likelihood in the eyes of the Street)."

Scenario 3: "Musk needs to settle or pay significant damages to Twitter with Street ranges from $5 billion to $10 billion based on court ruling/trial trajectory (high likelihood)."

Scenario 4: Musk wins in Delaware and pays no breakup fee around fake account/bot information cited in 13D filing (very low likelihood)."

Ultimately, Twitter shareholders expect a deal to get done, as the stock price soared more than 4% on Wednesday following the news of Musk's Tesla stock sales.