4 Penny Stocks to Watch With Cryptocurrency Going to the Moon
Cryptocurrency penny stocks are heating up right now. And as a result of bullish momentum with popular cryptocurrencies like Bitcoin and DogeCoin, many penny stocks involved in crypto have seen complementary rises in value. Within the stock market, there are plenty of options to choose from as far as companies that work in crypto or blockchain. To understand this further, let’s break it down.
What Are Crypto Penny Stocks And Are They Worth It?
At the top, we have companies that mine cryptocurrency. These tend to be the most highly correlated to the crypto industry for obvious reasons. Keep in mind that these penny stocks also tend to be more volatile than most due to the overall volatility of the cryptocurrency industry.
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A step down from this, we have companies that work in cryptocurrency-related technology. This could be the production of Bitcoin mining machines, mining-related tech, and so on. And lastly, we have companies that are involved in blockchain tech.
While you might think that blockchain and crypto are the same, they are quite different. Blockchain is the underlying technology that allows cryptocurrency to function. And cryptocurrency is a product of blockchain tech.
While blockchain tech has a variety of applications such as decentralized finance and other decentralized opportunities, cryptocurrency simply offers an alternative to fiat currency. So, with all of this in mind, let’s take a look at four cryptocurrency penny stocks to watch right now.
4 Crypto Penny Stocks to Watch in October 2021
- LM Funding America Inc. (NASDAQ: LMFA)
- Greenpro Capital Corp. (NASDAQ: GRNQ)
- Ebang International Holdings Inc. (NASDAQ: EBON)
- NXT-ID Inc. (NASDAQ: NXTD)
Crypto Penny Stocks to Watch: LM Funding America Inc. (NASDAQ: LMFA)
LMFA stock is a penny stock that has been making headway in the past year or so. In the past five days, shares of LMFA stock have shot up by over 11% with a one-year gain of almost 50%. Today, LM Funding made an exciting announcement during pre-market trading. But before we get into it, let’s talk about what LMFA does. LM Funding is a finance company that provides funding to tech-based businesses. This includes its entrance into blockchain via its subsidiary, U.S. Digital Mining and Hosting Co.
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Today, LM Funding announced that it has purchased an additional 4,000 S19J Pro Antiminer Machines from Bitmain, worth $25.3 million. The company had previously purchased 1,000 of these machines for a price of $6.3 million. LM Funding states that once the 5,000 machines are delivered, it will have the capacity to mine 504 petahash, which could generate almost 100 Bitcoin per month.
“In September, we began to purchase Bitcoin mining machines as a cost-effective way to purchase Bitcoin assets at a risk-adjusted asset exposure to the ecosystem while generating positive operating income.
Our initial plans have expanded with the purchase of an additional 4,000 miners at favorable prices. We plan to run all of our mining machines with low carbon energy housed in custom build containers purchased from Bit5ive.”
Bruce M. Rodgers, the CEO of LM Funding
This is exciting news for the company and comes at a time when the crypto industry is booming. Considering this, do you think that LM Funding is worth adding to your penny stocks watchlist or not?
Greenpro Capital Corp. (NASDAQ: GRNQ)
Up by a solid 12.4% at midday are shares of GRNQ stock. This brings its five-day gain to almost 20%, which is quite substantial. Similar to LM Funding, Greenpro offers investments into budding businesses. This includes a portfolio of finance, tech, banking, health and wellness, and other business prospects.
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Because of how broad it is, GRNQ stock looks like it could be considered more diversified than other similar companies. The most recent news from Greenpro Capital came when it announced an investment into two Pre-STO projects on the CryptoSX digital asset exchange. The two investments will be into Link Cap International Ltd. and Samothrace International Ltd. (ATM Online).
“We are very excited to kick off our Pre-STO Investment Program with Link Capital and ATM Online, both have excellent professional management teams and are in businesses that are poised to capture significant upside from pent up demand and decentralized finance momentum.”
The CEO of Greenpro, CK Lee
This is an exciting announcement for the company and shows that it is working hard to get a larger foot in the door for the future of blockchain. While it may take some time before results are seen from this deal, it could make GRNQ stock worth watching meanwhile. With that in mind, does it deserve a spot on your list of penny stocks to watch?
Ebang International Holdings Inc. (NASDAQ: EBON)
Another respectable gainer of the day is Ebang International Holdings Inc., pushing up by almost 4% at midday. Despite less than stellar performance in the past year, we are seeing more bullish sentiment with EBON stock right now. If you’re not familiar, Ebang is a provider of application-specific circuit chips and Bitcoin mini machines. Only five days ago, Ebang reported its unaudited financial results for the first half of fiscal 2021. During this period, Ebang brought in revenue of $18 million, which is almost 70% more than the previous period in 2020.
“Over the past few years, the Company has been focusing on the research and development and sales of Bitcoin mining machines. However, this business is susceptible to the impact of macro and microenvironments such as global political and regulatory attitude toward cryptocurrency in general, economic competitions, chip production capacity and supply, and Bitcoin price fluctuations.”
The Chairman and CEO of Ebang, Mr. Dong Hu
In addition to this, the company stated that it brought in gross profit of around $5.6 million, which is compared to an almost $100,000 loss in the same period of the previous year. This data shows that EBON is working hard to grow, and could continue to do so in the coming months. Considering that, is EBON stock a potential penny stock to buy or not?
NXT-ID Inc. (NASDAQ: NXTD)
One of the bigger gainers of the day on October 6th is NXT-ID Inc., pushing up by over 19%. Despite shares being down by over 70% for the year, it looks like there is a renewed bullish sentiment surrounding the company. The gain today likely comes from a letter released by NXT-ID on Monday, October 4th. Before we get into it, let’s discuss what NXT-ID does. NXT-ID is a tech company that provides products for healthcare applications. This includes biometric and behavior identity, payments, sensor technologies, and more.
In the announcement made by the company, the CEO, Chia-Lin Simmons, outlined her plan for the next 100 day period. She stated that “I know NXT-ID has faced numerous operational and financial challenges over the last several years, and we have identified several priorities to place NXT-ID on the right path.”
And, she goes on to state that the company plans on voting on two reverse stock split proposals to avoid being delisted from the NASDAQ. The special meeting of the shareholders will take place on Friday, October 15th, and will decide on what the future of the company could become.
This letter also underscores the company’s recent pricing of its $12.5 million underwritten public offering announced a few weeks ago. As a fintech, healthcare, and security company, NXT-ID has many potential uses for blockchain technology. So with this news in mind, will NXTD stock make it onto your watchlist?
Which Crypto Penny Stocks Are You Watching Right Now?
Finding the best crypto penny stocks to buy can be a challenging task. However, with the right research and understanding of the current market trajectory, it can be much easier.
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One thing to keep in mind is that investors should have a thorough perspective of their own trading style and tolerance for risk. This will help to keep your portfolio aligned with your investing goals. Considering this, which crypto penny stocks are you watching right now?
