Buzz on the Bullboards: The Return of Crypto?

2021 has started off with a bang for investors, as many sectors continue to weather the storm under COVID-19, which continues to spread to record numbers in the US, while the country watches as its outgoing President Donald Trump is impeached for a second time.

Despite this uncertainty, we are starting to see a clearer picture of where companies are headed just a couple weeks into the year. This has allowed the Stockhouse Bullboards to pinpoint some small-cap opportunities that are on the rise.

In Canada we have seen our resources and tech sectors push forward, and in this week’s Buzz on the Bullboards, we take a look at some of the companies seeing great attention on our forums. In some cases, the opportunity for investors has been clear-cut, while in others, a lack of information makes for deep-dive discussions into what is available.



Datametrex AI Ltd. (TSX-V: DM, Forum) Bullboard users have had their work cut out for them figuring out where the tech company is headed.

This week alone, DM stated that it had sold more than 23,000 COVID-19 PCR tests from October to December 2020. These onsite tests were sold to film industry locations in Vancouver, Montreal, and Toronto. The company added that this represents approximately $4 million (CAD) in revenue for Q4. The company is also providing COVID-19 testing to Air Canada Inc. (TSX: AC, Forum) front-line employees.

A day later, Datametrix announced that its wholly owned subsidiary, Ronin Blockchain Corp., a cryptocurrency mining platform, will be revisited under its eye with a view to evaluate various strategic options for the purpose of reactivating cryptocurrency mining.

This review came in light of the favourable market conditions that have emerged for Bitcoin and cryptocurrency. Bitcoin has had an unprecedented run up in value in last three months from below $10,000 (USD) to over $40,000 (USD).

The re-emergence of cryptocurrency is a story that many investors may way to track further. According to Forbes, a leaked CitiFX report from US banking giant Citibank revealed that Bitcoin could potentially hit a high of $318,000 by December 2021, calling it “21st century gold.”

Speaking on this news, Datametrex’s Chief Executive Officer Marshall Gunter explained that given the strong run up on Bitcoin, it would prudent for the company and a benefit with its shareholders to complete a full review of Ronin.

“Many people within the cryptocurrency space have noted many institutional investors say crypto may be in the middle of an unthinkable rally.”
A relatively new name in the Tech Bullboard Top 6 is another blockchain-integrated play, Extreme Vehicle Battery Technologies Corp. (CSE: ACDC, Forum). The battery technology company is hitting the market this quarter with revolutionary, its new smart solutions in the rapidly growing EV and Energy Storage Solution (ESS) consumer segments. In Q1 2021, ACDC is launching its first product within the Company's Smart Wall Series, the IoniX Pro Home Smart Wall, a complete home charging and back-up solution. The Home Smart Wall is a lithium-ion battery energy storage system that is capable of monitoring and repairs remotely. With a state-of-the-art iOS and Android application, the product can remotely control and monitor a home’s energy use and storage.

This brings us to our Investor Pulse Poll question of the week: Do you believe that Bitcoin and Cryptocurrency as a whole has the potential for new life and can continue to hit new highs? Let us know your thoughts by clicking the image below.



Taking a look at our old poll, it seems a solid majority of you believe that we as a society can help limit the spread of COVID-19. Whether you interpreted that as “are humans capable of limiting the spread” or “do you think people will actually mask up and social distance until the vaccine is widespread to reduce transmission” is another matter.



Circling back to companies working to fight the spread of COVID, Loop Insights Inc. (TSX-V: MTRX, Forum) has developed a venue management platform that allows for automatic venue tracing, notifications, and testing or vaccine confirmations through the company’s Wallet pass and digital ID technology.

The Vancouver-based tech company stated this week that it had been chosen to provide its venue management platform at the NCAA Big West Conference championships. The Finals will consist of 19 men’s and women’s NCAA basketball teams competing for a chance to enter the NCAA 2020-2021 “March Madness” tournament in Las Vegas.

Loop Insights also advanced its M&A game when it signed a letter of intent to acquire Passcreator, a European digital wallet and mobile marketing company. Loop intends to take full control of Passcreator’s wallet pass platform and technology. The company will also incorporate the Passcreator team, in preparation for the next stage of Loop’s business developments.



For energy share traders, it has been an interesting time to be an investor of Crescent Point Energy Corp. (TSX: CPG, Forum). In the past month, CPG stock has moved higher by more than 14%. Bullboarders have been wondering if its recent run will last a little bit longer and analysts are also following its moves, with Zacks giving it a “Strong Buy” in a recent report while RBC Capital maintained its “Hold” rating this week.

Many experts agree that CPG’s latest 2021 budget is on the right track. While its price had dipped slightly this week, the overall trend indicates continued growth.


(Crescent Point Energy stock chart, Oct 2020 to Jan 2021. Click to enlarge.)

It has been a busy few weeks for Hillcrest Resources Ltd. (TSX-V: HRH, Forum) and its name has been making frequent appearances on the Bullboards. The Canadian oil and gas producer provided an updates for shareholders this week on its joint ESS development agreement with Extreme Vehicle Battery Technologies, where Hillcrest would reach a definitive agreement with ANIGO Technologies Inc. to develop a renewable energy ESS on its BMS technology platform, using ANIGO’s motor and generator control system technology. However, nothing appears to have come of this agreement, which is a prerequisite to an agreement with EV Battery Tech.

Since Hillcrest’s involvement represents a single specific ESS application for one product that EV Battery Tech has in development for the renewable energy market, its President and Chief Executive Officer, Bryson Goodwin noted that his company continues to engage with Hillcrest and hopes to collaborate with them as originally planned.

“The key to the product will be our patented BMS technology and the technology from ANIGO will complement the product. In the event we do not pursue a definitive agreement with Hillcrest, we will continue to develop our ESS product.”

“Due to the momentum we have seen in our Company over the past couple weeks, we have been approached by several companies with similar technologies looking to collaborate with us. However, at this time, we hope Hillcrest can secure and validate the technology with ANIGO and, if they do, we will re-engage discussions towards a definitive agreement,” he added.

---

---

It isn’t just crypto looking to stage a comeback in 2021, but the oil and gas industry, as well. One company in a unique position in this field is Enbridge Inc. (TSX: ENB, Forum). As one of the more potentially undervalued companies in the sector, it could be set to win big this year. But that’s only if it can overcome some of the challenges in its path. Most specifically, its Line 3 project which has faced scrutiny from environmentalists and several levels of government.

Canadian oil producers have claimed to be struggling with capacity constraints for years now and the belief is that the new Line 3 could alleviate that pressure, with its expected capacity to move 370,000 barrels of oil per day. The $2.6-billion project plans to replace Enbridge's existing 282 miles of 34-inch pipeline with 337 miles of 36-inch pipe. Line 3 is one of two pipeline projects in the works that are—in their unfinished state—keeping Canada's oil industry from reaching its potential.

A January 12th Livemoney report looking into the improving health of the Canadian oil industry found that while this challenge may be difficult to overcome, but the overall outlook for Canadian producers such as Enbridge is positive. This comes as ENB faces a challenge from Michigan Governor Gretchen Whitmer, who is looking to terminate an easement that has been in place since 1953 and thereby close Enbridge's Line 5 dual pipelines located in that easement. In its response to the state’s challenge, Enbridge pointed out that Line 5 transports fuel to heat homes and provides energy to Michigan, neighboring US states and Canada’s two largest provinces – Ontario and Quebec.



Finally, to the big names in Metals and Mining this week, we have several businesses advancing three resources you should check out if you are looking to diversify your portfolio.

First is Nouveau Monde Graphite (TSX-V: NOU, Forum). The renewable energy company recently appointed seasoned legal executive, David Torralbo to the position of Chief Legal Officer and Corporate Secretary of the Company.

Meanwhile, Nevada Copper Corp. (TSX: NCU, Forum) just increased its previously announced bought deal offering to $33 million (CAD).Thanks to a significant response from investors on its previous financing announcement, the Nevada-based copper producer will use the proceeds for a number of activities, including the repayment of $19.9 million (CAD) in debt for the construction and ramp-up of operations at its Pumpkin Hollow Underground Project.

Third is Canada Nickel Company Inc. (TSX-V: CNC, Forum) who, on Monday announced that it had entered into a non-binding Memorandum of Understanding with Glencore Canada Corporation in order to examine the potential use of Glencore's Kidd concentrator and metallurgical site in Timmins, Ontario for the treatment and processing of material mined from Canada Nickel's 100% owned Crawford Nickel-Cobalt Sulphide project. Crawford is located 40 km north of Glencore's operations.

Chair and Chief Executive Officer of Canada Nickel, Mark Selby stated that the opportunity to utilize the excess capacity and existing infrastructure at the Kidd Met Site provides the potential to allow a faster, simpler, smaller scale start-up of Crawford at a vastly lower capital cost while the Company continues to permit and develop the much larger scale project currently being contemplated.

“Given the potential for this significant change in the scope of the project start-up, the release of the Preliminary Economic Assessment (PEA) will be delayed until the end of March 2021 to allow this option, if successful, to be incorporated.”

This comes as the Canadian nickel-cobalt sulphide miner recently made news with the release of robust results from metallurgical testing on its 100% owned Crawford Nickel-Cobalt Sulphide project, boasting nickel recovery of 46% and 51% from two locked cycle tests.

Investors are already expecting the next week of trading to be big, from US government COVID stimulus and the 2nd impeachment of President Trump impacting markets and the cannabis sector reporting more earnings. Buzz on the Bullboards will have you covered for what you missed, and what small-cap companies Stockhouse investors are interested in. For previous editions of Buzz on the Bullboards: click here.

---

---

FULL DISCLOSURE: Canada Nickel Company Inc., Nevada Copper Corp., Datametrex AI Ltd., Extreme Vehicle Battery Technologies Corp., and Loop Insights Inc. are clients of Stockhouse Publishing.