I was wondering, after seeing a cake on the front page that was chocolate fondant w/ pink flowers, if a cake could be covered in ganache. Ganache made with candy melts and heavy cream(I think that's right). What do you think?

Yep. Here's one I did. http://www.cakecentral.com/modules.php?name=gallery&file=displayimage&pid=987333

I do it all the time! In fact thats how I make my chocolate covered strawberry cake. Cover the cake in ganache, use the gnanche to pipe borders, and then drizzle warmer ganache down the sides. It always gets rave reviews.

Everything you ever wanted to know about chocolate ganache:
(Includes overview, master and other recipes, includng white chocolate. How-to glaze, smooth, stack and more.)

http://forum.cakecentral.com/cake-decorating-ftopict-497433-.html

Chocolate 101:

http://tinyurl.com/ytby97

Wilton candy melt ganache recipe:

http://www.wilton.com/recipes/recipesandprojects/candy/ganache_glaze.cfm

Wilton link to coloring & flavoring candy melts:

http://www.wilton.com/candy/geninfo/index.cfm

HTH

I want to do a 8 or 10 inch round, 3 layers, filled with chocolate buttercream, I would crumb coat in the chocolate buttercream, then cover it with the candy melts/heavy cream recipe. Will this give me a somewhat hard shell on the outside? that is what I am aiming for. I dont' want sticky at all, i want it to be dry to the touch and have a smooth look without being too shiny -am I making sense?

Its funny you ask about this now. I just got a request for a Orange Chocolate cake I do with a "hard chocolate shell, think Magic Shell for Ice Cream..." all over it with candied orange slices as decor.

How in the heck do you get a hard chocolate shell on a cake??

If you wanted a 'hard shell' that wasn't glossy, you could try covering your cake with the thinnest rolled chocolate fondant and then just pour straight chocolate over it same as you would do for ganache.
I have done this before and it worked a treat, but you definitely need the fondant on it before hand so it has something to 'stick' to