After Bitcoin broke through the 30,000 mark recently, the market focus shifted to the surge in its derivative Bitcoin Cash, whose price nearly doubled in 10 days. Bitcoin Cash (BCH) was still trading at $104 on June 20, but a miracle happened at the end of June, when the price suddenly exploded and soared to $306, a 1.94-fold increase.

There are some conclusions about the reasons for the surge in Bitcoin Cash

The reasons for the Bitcoin Cash resurgence have been discussed in the past few days. Among them, the listing of the new crypto exchange EDX Markets is beneficial to BCH, as it is an exchange backed by industry giants Citadel Securities, Charles Schwab Corp. and Fidelity Digital Assets.

In addition, some people believe that the price increase is also due to the recent "game-changing" upgrade of Bitcoin Cash. In mid-May, Bitcoin Cash underwent a hard fork, which not only improved the network's security and privacy measures, but also introduced the CashTokens program.

20% of transactions are in South Korea

However, the real reason for Bitcoin Cash’s current surge seems to be in South Korea. According to cryptocurrency journalist Colin Wu on Twitter, South Korea may be the reason for BCH’s rise.

Colin Wu found that in the past 24 hours, the trading volume of BCH/KRW on Upbit, South Korea's largest exchange, exceeded $350 million, accounting for 23.58% of the total BCH trading volume. In addition, this is also three times the volume of Upbit BTC/KRW, which is an extremely rare anomaly.

Prominent crypto whale and trader Andrew Kang agreed, saying the current BCH rally reminded him of the multi-week Aptos (APT) battle between South Korean retailers and “professional traders.”

Koreans have driven up the price of Aptos in the past due to jokes about housing affordability. At the time, APT's trading volume on Korean cryptocurrency exchange UpBit was often higher than the total trading volume on Binance. In addition, the Aptos Foundation has been promoting this alternative coin to Koreans from the beginning.

According to Alex Shin, co-founder of crypto venture capital firm Hashed, Korean cryptocurrency investors turned Aptos' three-letter code "APT" into a meme, suggesting how expensive it is to buy a property in South Korea. An analyst said at the time that "raising alternative coins is a tradition in the Korean crypto community."

“People are shorting Bitcoin Cash in excess of its circulating supply. It’s highly illiquid because most of the supply is already expired,” Kang concluded, adding that “Koreans don’t need a reason to bid, the important thing is that it keeps going up and early shorts are getting slaughtered.”

The rise of Bitcoin Cash has also caused some concern and worries. Some people worry that this price increase is caused by market manipulation or the involvement of speculators. In addition, some people also worry that the price increase of Bitcoin Cash is a bubble that will eventually lead to a price collapse.

Despite these concerns, some investors see Bitcoin Cash’s rise as a positive sign for the cryptocurrency market, indicating that the market is maturing and developing.