Summary:
Bitcoin is trading at a 1.52% premium in South Korea compared to the global market.
The premium has been consistent since October 30, 2023.
Bitcoin briefly dipped below the global average on August 22, 2024, but the dip was short-lived.
Ethereum is also trading at a smaller premium of 0.95% on South Korean exchanges.
The South Korean won is the second most traded fiat currency for Bitcoin, just behind the U.S. dollar.
Despite recent turbulence in the crypto market, Bitcoinâs price continues to carry a premium in South Korea. As of 4 p.m. EDT, Bitcoin is trading at $59,002 per unit globally, but in South Korea, the exchange rate hits $59,900, reflecting a 1.52% premium.
Persistent Premium Amid Market Fluctuations
Interestingly, Bitcoin (BTC) has consistently traded at a premium in South Korea since October 30, 2023, dipping into the negative just once on August 22, 2024. According to CryptoQuant, BTC was priced at around $60,500 per coin on that day, and within two days, it climbed to $64,000. Although the price momentarily fell 0.36% below the global average in South Korea on August 22, the dip was fleeting.
Starting on October 30, 2023, and for 297 days, BTC has witnessed a premium in South Korea. The premium jumped more than 10% in mid-March 2024.
By August 23, the premium had bounced back to nearly 1%, reaching 0.93% above BTCâs global average. The premium climbed to 2.63% on August 27 and settled at 1.94% by August 29. As August comes to a close, Bitcoin is trading at a 1.52% premium on the South Korean crypto exchange Upbit, with prices approximately $898 higher. Ethereum (ETH) is also trading at a premium on Upbit, albeit a smaller one at 0.95%, according to the latest price data.
Coinbase has witnessed a slight premium between August 4 to August 28, 2024.
While stablecoins USDT and FDUSD are BTCâs top trading pairs, the South Korean won ranks as the second most traded fiat currency, just behind the U.S. dollar. Throughout 2024, the won has been a significant player in trade volume, second only to the greenback. Interestingly, Coinbase saw a consistent premium from August 4 to August 28, though it remained far below South Koreaâs, peaking at just 0.07% on August 22.
However, by August 29, Coinbase BTC prices had slipped back into the negative after 24 days of a slight premium, according to CryptoQuant metrics. The ongoing Bitcoin premium in South Korea, contrasted with the modest premium on Coinbase, highlights a stronger and more persistent demand in the South Korean market. Nevertheless, a Coinbase Premium often reflects increased demand for Bitcoin, which can drive up its price.
What do you think is driving the persistent Bitcoin premium in South Korea, and how do you see it impacting the global market in the coming months? Share your thoughts in the comments below.
Comments