Tomorrow is April 20, a Christmas of sorts for cannabis enthusiasts. The holiday has implications for the cannabis industry as well, with companies slated to turn healthy profits in legal states. And ahead of this year’s pot-holiday, a crossover with Dogecoin (CCC:DOGE-USD) enthusiasts is occurring, with DOGE fanatics proclaiming 4/20 as “Doge Day.” Could the odd crossover be leading to the boost in value that Sundial Growers (NASDAQ:SNDL) stock is seeing today?
With a major day for the cannabis industry coming on the same day as a major push for DOGE, investors are justifiably assuming that these factors are what is driving up SNDL stock today. Both SNDL and DOGE are Reddit favorites, each with their own robust subreddits. One asset influencing the other is plausible considering the fact that there is significant crossover in membership between the two communities.
While DOGE might have some influence on SNDL prices today, the driving factor is mostly coming from Capitol Hill. A vote regarding a cannabis bill is hitting the House floor for a vote on Monday afternoon.
SNDL Stock Seeing a Boost From Cannabis Bill Vote
The bill at hand aims to protect banks who serve cannabis businesses in legal states. Banks who deal with cannabis businesses are not under protection against federal regulators. So, many who operate in conjunction with cannabis businesses can be legally reprimanded for doing so, even in a legal state. This in turn disincentivizes banks from wanting to offer these services.
The bill is looking like a slam dunk for the cannabis industry. It has bipartisan support, including support from some of the most conservative Representatives, like Rep. Matt Gaetz of Florida. The bill, called the SAFE Banking Act, will finally be seeing its vote after a multitude of delays.
As a result of this news, SNDL stock is on the rise today. Shares at priced at 93 cents, a 10% gain from yesterday’s trading session.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article.