The digital currency market,especially Bitcoin,has recently witnessed a sharp decline in prices,as the value of Bitcoin fell by 27% in a few minutes,from $95,800 to $91,800.This sudden decline comes in light of the announcement of South Korean President Yoon of martial law in the country, which sparked a state of panic among citizens and investors.
⚫Martial Law and Its Impact on the Market
The declaration of martial law in South Korea is an unprecedented step,reflecting a state of political uncertainty and instability.This type of decision can lead to a decline in confidence in financial markets,including the cryptocurrency market.Investors usually react quickly to negative news,leading to mass selling.
⚫Speculations about North Korea
There is speculation that North Korea may have something to do with the current events,which has increased the anxiety among citizens. Rumors about possible interference by North Korea in South Korea's internal affairs could lead to further instability,which would negatively affect the markets.
⚫General market anxiety
General anxiety about political and economic conditions can lead to a decline in demand for cryptocurrencies.Investors tend to take more cautious positions in times of uncertainty,which leads to a decline in prices.
