Buy Cannabix Technologies Inc (OTCMKTS:BLOZF) On The Dip

After edging lower as the broader cannabis space came under pressure, Cannabix Technologies Inc (OTCMKTS:BLOZF) is showing signs of bouncing back. High turnover in shares traded, in the recent past, underscores growing investors’ confidence in the stock, in the wake of recent developments.A dip in share price appears to have presented one of the best buying opportunities for an exciting cannabis play. The stock is starting to live up to expectations as alluded in our previous update. Buying the stock on the dip appears to be the right call especially after the recent pullback.The company has made impressive strides on the development of a breathalyzer that has the potential to change how authorities address THC intoxication on the roads and workplaces. BLOZF Daily ChartThe stock has since bounced back from the $1.20 handle and is currently trading at a critical resistance level at the $1.78 level. A rise followed by a close above the critical resistance level should open the door for the stock to spike higher, further affirming the emerging uptrend. On the downside, Cannabix technologies face immediate support at the $1.20 handle below which it could drop to the $0.60 handle.What Does Cannabix Technologies Core Business Entail?Cannabix Technologies cast itself as a leading developer of marijuana breathalyzer for law enforcement and workplace. In pursuit of growth opportunities in the space, the company has developed breath testing technologies for enhancing detection of marijuana-impaired driving offenses.The company is currently working on drug-testing devices that will help authorities detect THC-Psychoactive component that causes intoxication.Recent developmentInvestor confidence in the stock has started building up, in the wake of Cannabix Technologies announcing the filling of a FAIMS Cannabis Detection Patent. The patent covers intellectual property in relation to an earlier version of the Cannabix Marijuana Breathalyzer.In addition, the leading developer of technologies for marijuana detection has entered into a licensing agreement with the University of Florida. The agreement provides the company with exclusive worldwide rights in the area of breath analysis of controlled substances.Market OpportunityCannabix Technologies is on the cusp of something big with its marijuana breathalyzer as more states in the U.S, and Canada moves to legalize the use of marijuana for recreational purposes. The need for technologies capable of testing whether people are driving under the influence of marijuana is expected to skyrocket, presenting unique opportunities that the company can take advantage of, with its lead product.Canada currently has no regulatory framework surrounding the use of cannabis, which results in potential impairment. The company’s marijuana breathalyzer is designed to give law enforcement and employers a tool they can use to enforce public safety for marijuana testing in the bloodstream.

Chief Scientific Officer, Dr. Raj Attariwala, states, “With the completion of the modular Beta 3.0 prototype, Cannabix has achieved several key developmental milestones allowing this technology to be directly tested against the accepted laboratory standard of mass spectrometry.”

Cannabix Technologies has since confirmed the addition of Dr. David Hasman to its scientific team as it moves to broaden the level of expertise needed for the development of the FAIMS device.

“His expertise in toxicology and forensic mass spec have been instrumental in government toxicology, and forensic mass spec have been instrumental with government toxicology labs during the recent fentanyl crisis in BC. His skills will be invaluable as we prepare for trials with the Cannabix marijuana breathalyzer device,” said Cannabix Technologies' Dr. Raj Attariwala

What Next For Cannabix TechnologiesCannabix Technologies underperformance in the first quarter is a point of concern. However, given that the underperformance was not as a result of deteriorating performance, then the stock should be able to spike higher as the industry outlook improves.With a market cap of about $170 million, Cannabix Technologies is no small player in the emerging cannabis space. The company has approximately $2.7 million in its balance sheet which provides the much needed financial cushion for bringing to market a product that has the potential to define its growth prospects for many years.As soon as the company gets the much needed regulatory approval for the use of its marijuana breathalyzer, then its market cap should receive a major boost on investors taking note of its potential.Unlike other companies in the cannabis space, Cannabix Technologies is operating in a niche market that has minimal competition. The fact that there is no other approved solution for testing for marijuana-induced impairment means the company has the potential to enjoy a first-mover market advantage with its Marijuana Breathalyzer.Cannabix Technologies has every reason to succeed as authorities look for ways to test for marijuana intoxication on the roads and workplaces. The filling of a patent for its breathalyzer and the signing of licensing agreement all but means the company is on the right track of bringing to market a vital product that has the potential to generate significant value in the long run.That said the stock should continue climbing higher as the recent pullback presents a unique opportunity for investors to buy the stock on the dip.Disclosure: We have no position in BLOZF and have not been compensated for this article.