- Vinco Ventures (BBIG) stock has been on a charge last week.
- BBIG stock rallied 76% in the last week.
- BBIG stock now faces a key test as markets turn risk-averse.
Vinco Ventures (BBIG) shares have taken investors on a profitable ride so far in 2022 but that may face the first major hurdle of the year now as things turn ugly on Tuesday. BBIG stock put in three huge green days last week with Wednesday and Thursday seeing gains of 23% in succession and then Friday finishing off with BBIG closing at $4.07 for a 15% gain. So far the stock is indicating higher again in Tuesday’s premarket but this will be a big test. The Nasdaq futures are down sharply as yields rise so BBIG shares face a major hurdle to maintain recent momentum.
Vinco Ventures (BBIG) stock news
The main reason behind the move last week was increasing fervour and speculation over Vinco’s (BBIG) Cryptide spin-off. Traders began circulating various theories, rumours news flow etc on social media with LinkedIn profiles of Cryptide hires and screenshots of information from news vendors being used to further the argument that the spin-off is imminent. Vinco (BBIG) is basically a holding company for investments in tech businesses. The company through its partnership with ZASH Global Media has a holding in social media app Lomotif and also has delved into the NFT space. Now with the cryptide spin-off BBIG is getting involved in the crypto and blockchain spaces. Cryptide will trade under the ticker TYDE and there will be a special dividend when the deal goes through. That is what has BBIG holders so excited. The last SEC filing though was back in November and that is the last official news on the subject. So far the rest is speculation.
- The Form 10 includes detailed information about Cryptyde, including historical financial information, as well as business strategy, risk factors and legal and financial disclosures:
- Distribution ratio in the spin-off is 1 share of Cryptyde common stock for every 10 shares of Vinco common stock.
- For example, if a stockholder holds 1,000 shares of Vinco (BBIG), they would receive 100 shares of Cryptyde (TYDE).
- Distribution is currently anticipated to be tax free.
- Currently expected number of outstanding shares of Cryptyde common stock is approximately 19 million.
- Upon completion of the spin-off, holders of Vinco will continue to maintain their existing ownership interest in Vinco (BBIG). Shareholders of Vinco as of the record date for the distribution will be granted shares in the new stand-alone, publicly-traded company, Cryptyde (TYDE).
From SEC filing.
Vinco Ventures (BBIG) stock forecast
The recent spike in BBIG stock broke above the 200-day moving average and also broke the old high at $3.61. This technically ended the long-term downtrend in place since September. We now enter a high volume zone from back in late 2021 so this increases resistance. holding above $3.61 now becomes the key short-term support and pivot.
BBIG stock chart, daily
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