GreenGro Technologies, Inc. (OTCMKTS:GRNH) Swings in the Other Direction
Just as strong upward momentum revived and lifted up GreenGro Technologies, Inc. (OTCMKTS:GRNH) to sizzling levels, so now downward pressure is threatening to wipe out most of the newly acquired gains. GRNH slid down a further 41% to stand at 22 cents, abandoning all hopes for dollar levels, which looked so easily attainable in the middle of last week. Selling volumes were $8.12 million, as nearly 60 million shares were shed. Buying was robust enough, so that Monday has a good stash of shares that may still flood the market. 
It does not help that after positive mentions from analysts, Seeking Alpha came in with an article warning that the loss may deepen to 75%- which is exactly what happened since the peak levels. While GRNH is relatively stable for a penny stock company, and shows longer-term potential, this is not a guarantee that it could hold on to the phenomenal and unusual gains of the past two days. 
GRNH sees expectation for news and development on new planting projects, and investors’ forums show optimism despite the correction. So at 22 cents, buying is a real possibility. But in reality, the company has not posted any news, is under heavy fire after the Seeking Alpha article, and was only briefly mentioned by CNN in a general pot-stocks story back on Friday.
GRNH was not the only hydroponics company that rose to extremely high visibility. Last week, most of the gains were made by the leaders, extravagantly bought up. TerraTech Corp. (OTCBB:TRTC) ran a similar scenario, eying the 50-cent levels, only to slide back to 29 cents, thus putting it in a similar price range as GRNH.
The newcomer, Vape Holdings, Inc. (OTCMKTS:PLPED) is doing no better since its reverse split, as it shed more than 50% of its value right after the 40-for-1 exchange started. Now, VAPE will have to prove itself anew and perhaps attract investors at the new high stock price.
Seeking Alpha criticized GRNH for being mis-represented as a marijuana stock. But the truth is, few of the hot tickers of the past days were outright cannabis sellers or growers. As in the past, they were companies from related industries, most often pharmaceuticals or hydroponics, which hope to benefit from the general business trend- and of course, from the general stock market mood.
While GRNH may achieve better results than other OTC offerings, its success is in no ways guaranteed, especially in terms of revenues. For GRNH, analysts give a target price of only a penny, yet time will show if any ticker keeps at least a part of the gains. What is worrying is that the sector’s bellwether has not budget a lot from its usual levels: Medical Marijuana, Inc. (OTCMKTS:MJNA) remains below 20 cents, with no clear trends and only cautious additions in price during the days when other tickers grew by several hundred percent.
