Penny Stocks To Watch With Cryptocurrency in Focus
4 Penny Stocks to Buy [Or Avoid] in April 2021
Penny stocks and cryptocurrency are in focus right now. To give some context, let’s talk about what these two assets are. On one hand, penny stocks are any company trading under $5. While you can buy penny stocks on Robinhood and other platforms, many brokerages do not offer access to the OTC or over-the-counter exchange. This is where the majority of penny stocks are.
It’s worth noting that stocks under $5 can be highly volatile due to both high speculation and the low price point. However, the opportunity for finding potential large gainers can be much larger than with blue chips.
Moving forward, cryptocurrency is an asset class that has come to light in the past few years. While the popularity of crypto began with Bitcoin, many other cryptocurrencies are seeing just as much attention. This includes the rise of altcoins like DOGE Coin and others. Investors should also consider that DOGE Coin hit an all-time high of above $0.39 on April 15th. In the past three months, DOGE has increased in value by well over 4,050%. This is staggering and makes DOGE a unicorn in the investor market.
While penny stocks have seen equally large value increases, this usually occurs over a longer period. If we take all of this into consideration, we see that penny stocks could correlate with cryptocurrency. Because these cheap assets are relatively similar in terms of price, they often can rise in tandem with one another. Considering this, here are four penny stocks to buy or avoid in April 2021.
4 Penny Stocks to Watch as Crypto Rises in Popularity
- Ebang International Holdings Inc. (NASDAQ: EBON)
- SOS Ltd. ADR (NYSE: SOS)
- Astrotech Corp. (NASDAQ: ASTC)
- Uxin Ltd. (NASDAQ: UXIN)
1. Ebang International Holdings Inc.
If you haven’t heard of Ebang International Holdings, you’re probably not alone. However, the company has been making some big gains in the past few months that could make it worth considering. Before we get into why let’s discuss what EBON does.
Through its various subsidiaries, Ebang researches, designs, and develops circuit chips used in Bitcoin mining. Its products are offered in the U.S., China, and Hong Kong. In addition to chips, it provides mining machine hosting services that allow its users to conduct mining operations from anywhere around the world.
Additionally, Ebang works in the development of telecommunications products including fiber optic multiplexers, transmission network products, and other IoT-related devices. Its Bitcoin mining products are sold under the Ebit brand, where it serves both Bitcoin and telecommunications industries.
In the past few months, Ebang International has made several big steps forward. This includes back in November when it was granted an exclusive license for its AsicBoost patent. This patent allows for increased Bitcoin mining performance by as much as 20%. Because Bitcoin is so…