Meten Holding Group Ltd (NASDAQ:METX) Stock Gains Further Momentum on High Volume

Chinese English language training service provider Meten Holding Group Ltd (NASDAQ:METX) has seen its stock perform strongly in the past few days and the trend continued on Thursday.

Market Action:

On Thursday, METX stock surged 44.34% at $0.5990 with more than 411.67 million shares, compared to its average volume of 48.41 million shares. The stock has moved within a range of $0.4369 – 0.6389 after opening the trade at $0.4750.

Major Trigger

Yesterday, investors piled on to the stock once again and sent it soaring by as much as 44% following a key announcement from Meten. As a matter of fact, the latest rally took its gains for the past week to as much as 90%. On Thursday, Meten announced that it signed a new strategic cooperation agreement with the integrated technology company AGM Group Holdings Inc.

The cooperation agreement with AGM Group is focussed on accelerating the blockchain and cryptocurrency mining initiatives that Meten has been working on. It was a significant announcement from the company since the cryptocurrency mining business has proven to be highly lucrative for a number of companies in recent times.

As per the terms of the agreement, the two companies are going to be working on research and development with regards to blockchain applications. In addition to that, they are also going to collaborate with regards to the creation of a supply chain that is going to be specific to the crypto mining business.

Traders Note:

METX stock is trading above the 20-Day and 50-Day Moving averages of $0.38 and $0.40 respectively. However, the stock is trading below 200-Day moving average of $1.30. The stock is up 10% in the past 3-month.