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Is King Digital the beginning of the end?

Talk about a lousy day.

Of the 55 deals that have priced in 2014, King Digital, the maker of the game Candy Crush, turned in the worst debut losing more than 15% in its first day of trade.

Jim Cramer finds the price action promising.

The 'Candy Crush Saga' game is displayed on an iPhone 5S and iPad Air.
Andrew Harrer | Bloomberg | Getty Images
The 'Candy Crush Saga' game is displayed on an iPhone 5S and iPad Air.

Although he thinks, in days to come, King Digital may show long-term viability as a profitable, mobile gaming company, buying the weakness is not what he's talking about here.

What Cramer find promising is the absence of froth. It's something he says needs to abate if the market's long march higher is to continue in any meaningful way.

If you're a bull, there's some good news. Cramer is starting to see signs that froth is coming out of the market.

"I'm heartened by the recent price action in recent cloud, big data, and early stage biotech IPOs," Cramer said. "Since coming public, many are down from their highs."

Now the King Digital IPO sagged rather than soared. Ironically, that's another positive.

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All told, Cramer says, these may be signs that hedge funds and other institutional investors are moving away from these IPOs and putting money to work in stocks powered by fundamentals, a much more legitimate catalyst.

"That could make King Digital the beginning of the end," Cramer said. But don't think there won't be one or two more red hot IPOs in the meantime. "The end will take a while."

Call Cramer: 1-800-743-CNBC

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