The recent rise in XRP's price has solidified its position as one of the most traded currencies in the cryptocurrency world. However, one analyst points out that this movement was not global, but concentrated in one country: South Korea.
According to analyst Dom, over 70% of the net buying volume of XRP came from the South Korean exchange Upbit. This highlights the role of the Asian cryptocurrency market, especially when compared to exchanges like Coinbase and Bitstamp, which had much lower numbers.
South Korean traders: Are they the stars of the XRP rally?
During the recent price surge, XRP reached nearly $3 on some platforms. This rise was driven by intense buying pressure, mainly led by users from South Korea.
In contrast, Coinbase only accounted for 11% of the net buying volume, while Bitstamp accounted for just 6%. Even Binance, the largest exchange in the world, recorded a negative balance, meaning that sales exceeded purchases.
This behavior is not new. In previous quarters, South Korea has already been a prominent center for altcoins like XRP.
The preference of South Korean traders for these assets is partly due to a high-risk investment culture and speculation that preceded the emergence of the cryptocurrency market.
Here are some interesting statistics about XRP's performance from $2.60 to $3.00 yesterday. - There was a total net buying pressure of 45 million XRP in spot markets. - 70% of the buying pressure came from Upbit (32 million). - Coinbase recorded 11%, Kraken 9%, and Bitstamp 6%. Binance experienced a negative net trading volume delta. This shows how skewed this move was, almost entirely driven by Upbit. Binance typically does not lag in participating in spot markets, but that was not the case," analyst Dom noted on X (formerly known as Twitter).
In South Korea, nearly 90% of trading volume on local exchanges comes from altcoins. This figure starkly contrasts with markets like the United States, where Bitcoin and Ethereum dominate.
XRP, in particular, has gained significant popularity in the Asian country due to its volatility and potential for short-term profit.
The position of the average South Korean investor also plays a role. Many of them are young and looking for quick opportunities in a market they see as more accessible than traditional financial instruments. This context has reinforced South Korea's status as a key player in the development of tokens like XRP.
Although the rise of XRP showed signs of slowing down - with the currency now trading near $2.81 after previously touching $3.00 - interest in South Korea shows no signs of waning. This kind of performance may herald more momentum if market conditions improve again.
Understanding the markets behind price movements allows for a better interpretation of global supply and demand dynamics. In the case of XRP, it is clear that the Asian market, especially South Korea, plays an increasingly important role.