South Korea's virtual currency market experienced a major crash following President Yoon Seok-yeol's declaration of martial law. This development caused panic among traders, who tried to withdraw their funds, while coins like Bitcoin experienced significant price declines.
South Korea's virtual currency market crashes after martial law is declared
On-chain analysis platform Lookonchain revealed that South Korea's cryptocurrency market plummeted following President Yoon's declaration of martial law. Following this development, Bitcoin prices plummeted by up to 30% on the Upbit exchange.
Meanwhile, the prices of other coins such as XRP, Dogecoin, and XLM also fell by 20%. However, some crypto whales seem unfazed by this development. According to Lookonchain, many whales are sending large amounts of USDT to the Upbit exchange, presumably to pursue bottom fishing opportunities.
Since the President declared martial law, over $163 million has flowed into Upbit as these whales seek to accumulate these coins at discounted prices. Thanks to this battle between panic sellers and bottom fishers, Upbit announced that its application and open API services are currently suspended and experiencing delays due to a temporary increase in traffic.
President Yun declares martial law
The virtual currency market crash occurred after South Korean President Yoon declared martial law. The president made the declaration while accusing the country's main opposition party of sympathizing with North Korea and engaging in anti-national activities, CNN reported.
This is the first time since 1980 that a sitting president has declared martial law in the country. However, it is worth mentioning that the South Korean parliament can pass a resolution to lift martial law.
Meanwhile, amid these developments, the country's central bank announced that it would not hesitate to provide unlimited liquidity to the market if needed. This came days after the central bank cut interest rates to stimulate the country's struggling economy.
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Boluwatife Adeyemi
Boluwatife Adeyemi is an experienced cryptocurrency news writer and editor who has covered topics spanning DeFi, NFTs, smart contracts, blockchain interoperability, and more, among others. Boluwatife has a knack for simplifying the most technical concepts and making them easier for crypto beginners to understand. Outside of writing, he is an avid basketball fan and part-time enthusiast.
Disclaimer: The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
