RYTHM: 15min chart MACD Death Cross, KDJ Death Cross, Bearish Marubozu Triggered

According to the 15-minute chart for RYTHM, there have been significant bearish indicators, including a MACD Death Cross and a KDJ Death Cross, as well as a Bearish Marubozu at 10:00 on October 21, 2025. These signals suggest that the stock price has the potential to continue declining, with a shift in momentum towards the downside and a possible further decrease in value. Sellers are currently dominating the market, and the bearish momentum is likely to persist.

Urban-gro, Inc., a Colorado-based design-build firm specializing in indoor farms and cannabis facilities, has signed a binding letter of intent to merge with Flash Sports & Media, Inc. Urban-gro Stock Skyrockets on Flashy Merger Deal – Is This the Cannabis Builder’s Comeback?^[1]. This move comes amidst a series of financial struggles and strategic maneuvers by Urban-gro, which has been unprofitable and has defaulted on a $10 million credit line . The merger, which would see Flash's shareholders own about 90% of the combined company post-merger, has sent Urban-gro's stock surging, jumping as much as 60% intraday on October 14, 2025 .

The merger announcement comes at a critical juncture for Urban-gro. The company received a Nasdaq delisting notice in late August for failing to maintain a $1 share price . An appeal hearing was scheduled for October 14, 2025, the same day the Flash merger LOI was announced . Urban-gro's financial health has deteriorated, with a negative return on assets of –24% , and the merger is seen as a strategic pivot to improve its prospects.

Under the merger proposal, Flash will be absorbed into new Urban-gro subsidiaries, and Flash's shareholders will receive new Urban-gro shares (unregistered) equal to 19.99% of UGRO's pre-merger common stock, plus a new series of preferred shares that convert to common upon shareholder approval . Once the dust settles, Flash's owners would end up with roughly 90% of the post-merger company . Urban-gro will change its name to "Flash Sports & Media Holdings, Inc." after the deal closes .

The merger agreement includes a 90-day exclusivity period, during which Urban-gro cannot entertain other offers . Flash also agreed to pay a $200,000 cash deposit within 15 days as a show of commitment . The merger news provides a narrative pivot for Urban-gro, transitioning it from a pure-play controlled-environment agriculture (CEA) services firm into a diversified holding that includes Flash's sports/media business.

Investors reacted with euphoria at this lifeline for Urban-gro. In pre-market trading on October 14, UGRO stock jumped about 29% . After the opening bell, the rally intensified – shares briefly hit an intraday high of $0.78 before settling around the mid-$0.50s by early afternoon . By mid-day, Urban-gro was up roughly 59% at ~$0.59 per share , its largest single-day gain in recent memory.

However, despite the stock's surge, the merger faces several challenges. The company's financial health has deteriorated, and the merger is highly dilutive for existing shareholders, who would be left with only 10% of the combined entity after Flash's preferred shares convert . Additionally, the merger does not explicitly state that Urban-gro's CEA segment will continue operating as a subsidiary of the new Flash Sports & Media Holdings, suggesting a shift in focus.

Urban-gro's challenges mirror a broader slump in the cannabis cultivation and indoor farming industry. Falling cannabis prices and oversupply have sharply reduced demand for new grow facilities, and many high-profile indoor agriculture projects have failed . Despite these headwinds, Urban-gro has demonstrated an ability to win large projects, such as a $24 million construction contract with a leading Midwestern cannabis MSO in early 2025 .

The merger announcement did not explicitly say Urban-gro is exiting CEA, but the name change and Flash taking 90% ownership suggest the focus will shift. For now, Urban-gro said it will seek shareholder approval post-merger to convert Flash's preferred stock to common, finalizing Flash's control . Shareholders will surely weigh the trade-offs: their stake is diluted, but the company avoids a potential bankruptcy or delisting by gaining a new venture with fresh capital and a new industry direction.