Asian stocks started to rise on Monday after Bitcoin’s price got over $10000 for the first time since the last year.
As Bloomberg reported, Metaps Inc. raised 11%, GMO Internet Inc. jumped 7% to its greatest level from October 2019, Ceres Inc. climbed 4.4% and Remixpoint Inc. 6.2% in Tokyo. Woori Technology Investment Co. and Vidente Co in Seoul raised 4.6% and 5.4% correspondingly.
Supun Walpola, an analyst who is published on Smartkarma, said that these gains are definitely related with Bitcoin’s resurgence.
The analyst mentioned that the result of cryptocurrency gains varies broadly among various companies, with a comparatively smaller bottom-line increase at larger companies such as GMO than at smaller ones like Remixpoint.
“But something that we have noticed in the past is that the stock prices tend to grow more than the actual benefit that these corporations would get throughout a crypto surge, which has always followed fast improvements,” Walpola said.
Also, he mentioned: “We have noticed from past practices that any progress on this front is short-lived”.