Instead of Buying into Bitcoin Dip, Here is TSX Stock Canadian Should Consider

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Bitcoin is trading at around $30, 000, a mark which is a sharp decline from its mid-April highest of $60, 000. Newcomers in the crypto market are the most punished by this plunge. Though the Standard Canadian and U.S. indexes are not doing well, Bitcoin and its peers are facing a more turbulent and volatile climate.

Bitcoin has gained a lot this year from the launch of Bitcoin trading ETFs such as Purpose Bitcoin ETF in Canada. However, the ETFs have also plunged by over 40 percent since making their debut in February. Bitcoin woes began when Elon Musk, its cheerleader announced that his company would no longer accept it as a form of payment. Bitcoin is in a deep plunge, and for Canadian investors, this TSX stock is worth considering instead of Bitcoin.

Kinaxis (TSX: KXS)

Kinaxis is an Ottawa-based cloud-based subscription software provider for the supply chain in the U.S. and Canada. In 2020, the company’s stock proved resilient during the market pullback due to COVID-19. As of 19th July, its shares were trading up by 2 percent defying the broader market turbulence.

Why should Canadians be excited about this stock? According to Allied Market Research, the global supply management market is expected to reach $37.4 billion by 2027. If that happens, that will represent an 11 percent CAGR over the forecasted period.

In the first quarter of 2021, Kinaxis delivered a 9 percent growth and reached $57.7 million. Saas revenue also increased by 19 percent reaching $40.6 Million. The Company project that first full year SaaS revenue between 17 to 20 percent. The forecasted total revenue is between 4242-247 million and an 11 to 14 adjusted EBITDA margin.

Despite suffering a sharp plunge in March, Kinaxis stock has regained momentum. Kinaxis has shown its leadership in this developing market. On the other hand, Bitcoin is losing mainstream traction. Though digital currencies may not disappear soon, the bullish ride they have experienced in the previous months has been quashed by time.

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