Nearly two weeks ago, the Biden administration gave two big announcements:

• Plans to pardon all prior federal marijuana possession offenses.
• Called on regulators to review the drug’s classification.

But like every other time cannabis received positive news on legalization, pot stocks would rise — just to collapse again.

The AdvisorShares Pure US Cannabis ETF (NYSE:MSOS) rose 34% after the news — but is now up only 10% since.

Skeptical investors see the move as a way to drum up midterm elections support, but one investor disagrees.

Aaron Edelheit — the CEO of Mindset Capital and a well-known cannabis investor — shared his thoughts in a post.

Edelheit thinks cannabis could be reclassified by the end of 2023. Cannabis is currently classified as a Schedule I drug — on the same level as heroin and MDMA.

• Unless Biden moves forward with decriminalization, he will have “no chance to be nominated again” during the primary elections in 2024.
• If Biden doesn’t, he’ll lose to someone more pro-cannabis. And if he doesn’t run, the Democrats would bring in someone more likely to move on decriminalization.

The uncertainty of when cannabis could be decriminalized continues to drag pot stocks down. And while the move was short-lived, we could finally see some progress next year.

Learn more: Why cannabis ETFs may be the better option than individual stocks