The trading volume of Ripple‘s XRP against the South Korean won, reaching $2.5 billion in the past 24 hours on the South Korean cryptocurrency exchange UpBit, is a sign of speculative frenzy, reaching its highest level among its peers.
South Korean Investors Flock to XRP
This figure accounted for over 50% of UpBit’s total trading volume during this period. Data shows that the market depth was approximately $5 million during the Asian trading hours, indicating that XRP is supported by high liquidity. Historical data reveals that this liquidity is generally below $1 million.
The significant increase in XRP volume indicates an abnormal level, considering that the majority of trading volume on UpBit comes from Bitcoin (BTC) and Ethereum (ETH) trading.
Within the past 24 hours, the top ten South Korean cryptocurrency exchanges contributed a significant portion of the approximately $15 billion volume achieved in global cryptocurrency exchanges through the execution of XRP transactions worth billions of dollars. According to CoinGecko data, there was a volume of $2.2 million in XRP transactions on the world’s largest cryptocurrency exchange, Binance.
The cryptocurrency world is familiar with South Korean investors triggering enthusiastic rallies in altcoins. This phenomenon, known as the “Kimchi Premium,” is derived from the frequent occurrence of Bitcoin trading at a positive premium of up to 30% in the country’s cryptocurrency exchanges due to the influence of local investors.
XRP Surges After Court Decision
The surge in XRP price and the sharp increase in the trading volume of the leading altcoin followed the US court ruling that the sale of XRP on cryptocurrency exchanges did not violate securities laws and that XRP cannot be classified as a security.
Following Ripple’s partial victory against the SEC in court, the price of XRP skyrocketed by up to 90% and reached $0.90.
