Is now the time to invest in weed?

Cannabis stocks have been in the news after posting dramatic gains and losses over the course of just a few days. The activity began in response to the Notice that Congress will soon hold a vote on the Marijuana Opportunity, Reinvestment, and Expungement (MORE) Act.

With that announcement, and with more and more states legalizing recreational marijuana, you might be wondering if now is the perfect time to invest in marijuana.

After Monday’s market plunge, however, there’s a renewed understanding that marijuana stocks may not be the safest bet just yet. With the continued forward momentum happening each year in marijuana legalization, is now a good time to invest in weed? If not now, when?

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First, there’s the fact that more and more states are legalizing recreational marijuana. That means more marijuana deals and increased growth for the industry as a whole. This should mean earnings stocks should rise for many cannabis companies, or at least that’s what one would think.

“It’s a big deal, but we won’t be seeing any money coming out of these states for a while,” said Jason Spatafora, co-founder of MarijuanaStocks.com, said U.S. News in reference to the recent increase in states legalizing weed. The recent legalizations will ultimately be good news for the market, but these state legalizations are not having the immediate impact on Wall Street that one might expect, especially without the support of the federal government. This is where the MORE Act comes into play.

“Federal legislation that gives the cannabis industry access to the US banking system must be passed before there is any meaningful institutional investment,” it said forbes. In short, the cannabis industry needs to be able to do business with banks like any other major market player, which the industry is currently unable to do. If the MORE Act is passed, cannabis stocks could potentially gain more stability and legitimacy.

While Congress puts the MORE Act to a vote, it’s unlikely to become law anytime soon. The vote itself seems more symbolic than anything else.

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“We expect the MORE bill to clear the House again, but we see it primarily as a messaging bill as there is no viable path for passage through the Senate.” bars reports citing a research note from BTIG strategist Isaac Boltansky. The fact that there will be a vote means there is potential to spark some much-needed debate and discourse on the subject, but it will likely fall short of the federal laws the cannabis industry needs to gain greater legitimacy.

RELATED: Legal Weed: Cannabis Dispensaries, Marijuana Stocks, and How It All Works

Just because cannabis stocks aren’t currently as stable as some more established industries doesn’t mean they should be overlooked entirely. In fact, some say now is a great time to get on the ground floor.

“Investors may think now is the time to exit cannabis stocks, but these falling stock prices present an opportunity to lock in a low share price before things eventually bounce back.” according to NASDAQ.

RELATED: Time for Nasdaq and NYSE to list US cannabis companies

For those who believe in the future of marijuana, now could be a good time to invest in the companies they believe in. NASDAQ’s Rule of Thumb? Look for those that are generating growing revenue and are already making profits.

While investing in weed is currently a gamble, its future looks very bright. The American cannabis industry is currently worth around $60 billion and is projected to grow to over $100 billion by 2030. Current stocks may not be safe, but the industry itself is on a very profitable path. The key is to know that there will be ups and downs over the next few years and to be comfortable with that as an investor.

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If you are investing in weed today, be careful with your investment and be prepared for the inevitable ups and downs. “For investors who haven’t experienced extreme volatility in their portfolios, or whose portfolios are too heavily weighted towards cannabis, this can come as a shock.” wrote NextAdvisorregarding the extreme ups and downs in marijuana stocks.

RELATED: Cannabis Market Experts Explain When to Consider Stocks and ETFs

It looks like investing in weed will continue to be something of a rollercoaster ride. The direction of the market seems to remain unclear for the foreseeable future, or at least until there are extensive federal laws that make investing in cannabis a more stable investment. However, if you believe in the product or a specific company that has stock available, now might be a very opportune time to buy. Just remember that if you invest in weed today, you’re playing the long game. It’s a marathon, not a sprint.