XRP and Dogecoin See Surge in South Korean Trading as Trade War Thaws Unleash Speculative Frenzy
Risk appetite roars back in Seoul’s crypto markets—retail traders pile into altcoins as geopolitical tensions ease. Meme coins and payment tokens lead the charge, with XRP volumes doubling and Dogecoin flipping major alts in 24-hour trades.
Local exchanges report leveraged positions hitting 3-month highs, while regulators mutter about ’irrational exuberance’ between coffee breaks. Classic post-crisis move: when traditional markets stabilize, crypto degens double down.
Bonus jab: Nothing says ’calculated risk’ like YOLO-ing into assets whose fundamentals include Elon Musk tweets and airdrop rumors.
The pattern mirrors previous euphoric retail phases in Korea’s crypto market, often dubbed the “Kimchi premium” era, where local investors aggressively chased high-volatility assets.
Korean crypto markets have long served as a bellwether for retail sentiment.
The MOVE also coincides with a broader market rally fueled by a massive $1 billion short squeeze last week as overleveraged positions were forcibly closed amid surging prices.
“We subscribe to the view that this was a classic market short-squeeze against an exceptionally one-sided market,” Fan added. “There’s no evidence of significant ETH ETF inflows, suggesting this was purely a native positioning event.”
The enthusiasm in Korea also reflects improving geopolitical sentiment. U.S. and Chinese officials on Monday said they WOULD heavily cut tariffs on some goods to 30% from 145% for 90 days, following weeks of speculation on what the two superpowers would do.
“Investors are less apprehensive about crypto as U.S.-China trade talks find resolution and rate cuts appear more likely,” said Jeff Mei, COO of BTSE. “If the Fed signals a dovish pivot next month, it could push bitcoin past all-time highs and re-ignite lending and investment in the U.S. economy.”
While traders continue to watch for follow-through on institutional ETF flows and upcoming central bank guidance in June, the short-term momentum suggests that altcoin speculation is leading the current leg higher.
