Morning all !16 Apr 2021 11:31
Personally I am now looking at value based on events at the moment as the market is extremely volatile and sentiment driven (look at ARB - down 30% in a week as BTC climbs to ATHs - I believe there is a reason but that would be for another BB).
On VLRM - from about 8p there has been some important announcements:
1. Change of name - fundamentally changed the company to focus on blockchain - not the same company
2. Engagement of Kyudoku to form the crypto strategy - positive move - they are not figuring it out themselves (like CLP seem to be).
3. Appointment of Vinay Gupta of Etherium launch - real pedigree - launch of NFTs on exchange ....
4. Listing on OTCQB application made and being sponsored by the same people that sponsored ARB and KR1
So the price re-rated based on this very quickly to 31p - then rainbow chasers arrived and pushed it to 42p - then twitter kicked in with placing rumours and it went back to 21p - then the rumours were put to bed by a TR1 holder and CEO and we went back to 32p - we are now, I believe, based in a range of 25 - 35p until the next event.
This is what I think is key - the next event I think of any significance on the SP is OTCQB - ARB and KR1 re-rated on application to 2 - 3x and on entry and additional 5 - 7x as US investors bought in (KR1 - 43p to £2.05 in a week).
So why? US investors get Crypto and value it higher - this is a startup and they will view it as an undervalued entry level IMO so 5x would not surprise me at a minimum.
What we have to our benefit over KR1 and ARB is 64m shares - just reflect on that - over 30% of the company traded this week in the 20p+ hands - so sticky if people believe 11% held by one TR1 holder and the BoD hold as well as others. There are not a lot of shares to buy.
UK buyers this week have been looking - as Monecore were forced to exit it created 7m liquidity on the shares and actually kept the price down IMO as people would have bought on the news anyway but the liquidity provided supply.
Finally - I see posts comparing SPs - please dont bother - compare MCAPs
VLRM - MCAP - 17m - clear strategy and OTC listing coming up
CLP - MCAP - 25m - no clear strategy - slightly more cash but no US listing pending
ARB - MCAP - 660m - clear strategy - well run - generating a lot of revenue - - but undervalued compared to RIOT (Nasdaq issue?)
No reason OTC does not take this to 100m
I do not have a target SP any more - I have a target event - I will wait until one week after OTC listing and then make a judgement - that means at the very most I feel I have to wait until the end of May - 6 weeks.
I can do that, to be fair, everyone else can do whatever they want - but just be civil! - GLA