We are witnessing a sloppy trading morning for the Nasdaq as it gapped up on the open and then drifted into the red after falling hard yesterday. Bitcoin got sold this weekend, but other coins are rising to get attention. There is a total mania in cryptocurrency trading and many small traders are now buying anything that moves and some companies are taking advantage of it by linking themselves to cryptocurrency to grab the attention of traders.
One example is Discovery Minerals (OTCMKTS: DSCR), which is a tiny mining company based in California. It’s shares have done nothing for years, until today. This morning they are are one of the top traded stocks on the entire OTC exchange.
The rise was sparked by this Tweet by the company.
DSCR-we are pleased to announce the launch of Discovery’s Cryptocurrency platform. The coin symbol is :DSG— Discovery Minerals (@DiscoverDSCR) May 4, 2021
The stock is now trading with a market cap of well over $130 million USD. We like mining stocks at WallStreetWindow, but this is a market cap well above the value of the mining property this company has in California, which they expect to produce 10,000 ounces of gold. That means this stock only has value at this price if you believe the virtual currency it is promising to create is worth more than $100 million USD.
There are so many stocks to trade that I am not buying it and am only watching it. I hope it goes up, but we are more focused on stocks that have not moved yet and have cheaper valuations on their stocks compared to what their assets are worth. Our head editor, Mike Swanson’s top stock pick for this month is one such stock. To get more information on it and his free trading alerts subscribe to his email list by clicking here.