After asking around some forums, and meeting some fellow Datsun owners who have switched to pertronix, they agreed to help me solve my problem. Prior to getting my car 'fixed' I changed my sparkplugs to NGK BRP6ES, with a .040 gap, checked my plug wires to make sure they're still alright, and checked all the connections.
1.) They checked the pertronix ring itself. Now there was a lot of play between the distributor shaft, and the magnetic ring. Essentially, when the car would start running in high rpms, the ring would 'free float', or the shaft would spin independent of the ring, causing the backfire.
2.) checked the timing. According to them, the timing with the pertronix kit, needed to be 'more advanced'. My friend had 30 degrees in advance before it worked correctly. So we went from 10 degrees, to about 20 degrees advance
3.) Carbs were sync'd and the mixture is set. Apparently, I was running rich in cylinders 4,5,6 and they were somewhat surprised how the car even ran at that stage.
So it was either one, or the combination of all that fixed my 'rev limiting' problem. I believe that the play between the shaft and the ring caused the problem, because the ring couldn't exactly be 'secure' down on to the shaft.
As it stands, the engine is now running how it should be..... when I'm on wide open throttle. The car is now revving past 5k, and it feels punchy.
Now, another problem arose, but I think it's the fact that we didn't set the timing, until AFTER we sync'd the carbs and adjusted the mixture. But he said he'll fix it the next time he's around. When I'm lightlty on the throttle, at about 1500~ rpms in 3rd gear, it bogs a bit, as if it's not receiving enough air, even though it still continues to increase in rpms. It's not until you rev it up higher, then it goes away. But it comes back when slowly accelerating and going through gears.
So the plan now is that my friend will be bringing his pertronix kit, to see if I have some sort of faulty fitting ring, and if it would work. If his works perfectly, while mine doesn't, then I've had a faulty pertronix module this entire time. If his doesn't work, we'll be going back to a new set of points. But of course, before we do all of that, we'll have to match the carbs to the timing first, and see where that lands us.