- South Korea’s crypto market plummeted after martial law was declared, with Bitcoin dropping 30% on Upbit.
- Crypto whales capitalized on market panic, transferring $163M USDT to seize discounted assets.
South Korea’s cryptocurrency market experienced a massive downturn after President Yoon Suk Yeol declared martial law, citing national security concerns. This development aligns with a recent CNF update that highlighted South Korea recognizing crypto as marital assets in divorce settlements.
The announcement triggered widespread panic among investors, leading to sharp sell-offs. As confirmed in a CNN World update, the political situation in South Korea intensified as:
Yoon declared martial law in a surprise late-night address on Tuesday, reviving memories of a painful, authoritarian past. Troops attempted to enter the main hall of the National Assembly while protesters gathered outside to oppose the measure.
Subsequently, Bitcoin plummeted by 30% on the Upbit exchange, while major altcoins like XRP, Dogecoin, and XLM saw price drops of up to 20%. This marks the first martial law declaration since 1980, aimed at addressing alleged anti-state activities by the opposition.
Whales Target Opportunities Amid Market Turmoil
While retail investors scrambled to withdraw funds, some crypto whales viewed the market crash as an opportunity. According to Lookonchain, whales transferred over $163 million in USDT to Upbit, intending to capitalize on discounted prices.
This tug-of-war between panic sellers and strategic buyers caused a surge in platform traffic, prompting Upbit to temporarily suspend its open API services due to technical delays.
Central Bank Steps In to Stabilize Markets
In response to the economic instability, South Korea’s Central Bank pledged to provide unlimited liquidity if necessary. This announcement followed a recent interest rate cut designed to stimulate the economy.
Despite the ongoing turmoil, Parliament holds the power to overturn the martial law declaration, adding a layer of uncertainty to the nation’s financial and political landscape. As of now, Bitcoin (BTC) is trading at $95,851.04, reflecting a 0.17% daily decrease but a 3.59% weekly increase.
