The astronomical rise in cryptocurrencies could be a driving force behind some of the stock market’s success, according to emerging and frontier markets expert Mark Mobius.
During a CNBC PRO Talks with Martin Soong on Wednesday, the founder of Mobius Capital Partners suggested that investors who had found themselves on the right side of the cryptocurrency trade were willing to take more risk in the stock markets, and could therefore be propping them up.
As of Wednesday morning in Europe, bitcoin was trading at around $55,100 per coin, having enjoyed a rally of more than 400% in the past six months. Meanwhile despite the effects of the coronavirus pandemic, stock markets around the world have been nearing or surpassing record highs in recent weeks.
Mobius explained to CNBC the link between those stock market highs and the seemingly separate world of cryptocurrencies — and he shared his thoughts on cryptocurrencies as an investment.