Fidelity Investments - Trading Otc Stock

I'm in the process of purchasing a thinly traded OTC stock through Fidelity. It appears that the stock used to be priced "most recent price" based on the last price traded 9from my analysis). A day or so ago when I checked the stock, the price was dramatically lower.

Fidelity informs me that the price (is now/always was?) based upon the "lowest active bid" of the day. Is this standard industry practice?

This is imo nonsense. First, the bid has nothing to do whatsoever with the price. It is an arbitrary number some punter dreams to buy the stock for, even more so - the lowest bid. The ask would better reflect this. Moreover, the price at which the stock had traded last would imo be the best measure - and until now, by my eye appeared to be.

If true, when would I see the price based on anything remotely resembling an "real price"? Let's say the stock opens and trades one day at 50.00. Will that be the price reflected in my portfolio and if so, for how long? It would appear that trading day only. It would then revert to "the lowest "active" bid". As it stands now, there is no volume and the lowest bid is the same as it was the day(s) prior (not a huge shocker, the bid is out there).

I do not have access to all the bids/asks but nowhere can I find this low bid (although I am sure it exists).

The trader at Fidelity spent twenty minutes trying to sort the issue out. So my hunch is since she did not have an immediate answer - something is not right. Of course, the reason she is at Fidelity and not working in a real brokerage is that she can't cut it as a broker. She obviously did not know what the price was based upon herself. After twenty mins - came up with the above answer. I sent an email to Fidelity (and a follow up). They also confirmed this "bid pricing method".

Can anyone clarify this for me?