Singlepoint, Inc. (OTCMKTS:SING) Grows 300% on InsaneStocks.com Email, Bitcoin Promise

Singlepoint, Inc. (OTCMKTS:SING) held more surprises than we expected. After doubling in one day, instead of tiring and turning back, the ticker had enough energy to continue with an even stronger daily gain. SING grew by more than 328% on Monday, reaching $0.084, on buying volumes of $2.23 million.

InsaneStocks.com helped the stratospheric rise, though by a single free email. SING was mentioned among a group of marijuana stocks, but it was already hot enough with upward momentum. Added to the promotion came the coverage from specialized site Direct Global Media, which will be widening the coverage of SING, along with several hand-picked stocks from the sector, including Hemp, Inc. (OTCMKTS:HEMP).

Before growing 10 times in two days, SING was drifting with an extremely low price, as it already tried the carbon credits idea. Now, the company would use its know-how in bitcoin-trading and in assisting the medical marijuana sector. SING has a working system for mobile donations and SMS payments, which may be used in flexible ways. Unfortunately, despite the news that the company achieved more than $1.63 in sales in 2013, the SEC and the OTC page do not contain a timely report of the full data.

So there may be enough hidden items for SING. Investors’ forums pointed out that behind the company’s cheap OTC shares stood a working company, Six Sigma Services, Inc., which achieved serious revenues by adding novel payment technologies and platforms in the last quarters. Now, it remains to be seen if the markets can hold onto the gains, or if the sudden spike after a year in the lows will only lead to profit-taking.

But whether 2014 will indeed prove extremely profitable may be immaterial in the shorter term. Bitcoin transactions and marijuana sales are still under scrutiny and may not go as glitch-free as expected.

Still, SING opens the opportunity for a new class of companies- IT services, to be counted toward the pot stock boom. And while those can give new investing opportunities, they may also be a source of unique risks.

The rise of SING recalls that of GreenGro Technologies, Inc. (OTCMKTS:GRNH), which also multiplied its price ten times on extreme enthusiasm at the beginning of the month. But in the case of GRNH, what followed was stagnation and direction-seeking. While the company commands some loyalty from investors, the initial exuberance has certainly ran its course.

We cannot say when SING will also run its course, but with a boost from PR and promotions, the company may still have good days ahead. Despite the low price, it is still advisable to be prepared for sudden loss of value.