According to Cointelegraph, the cryptocurrency market is showing signs of recovery following South Korean President Yoon Suk-yeol's decision to reverse his martial law declaration. The reversal came less than six hours after the initial imposition, during a Cabinet meeting held at approximately 4:30 am local time. This decision followed a significant parliamentary vote where 190 out of 300 lawmakers opposed the martial law order.
President Yoon announced his acceptance of the National Assembly's request to lift the martial law, adhering to South Korean legal requirements that mandate the government to revoke such measures if the majority of parliament demands it. The sudden declaration, made on live television, had caused international concern, with the White House expressing serious apprehension about the situation in South Korea.
Yoon justified the martial law by citing perceived threats from North Korea's communist forces and the need to eliminate anti-state elements. He described the measure as essential for ensuring the freedom and safety of the populace and maintaining national stability amid unrest caused by subversive elements.
The initial declaration had a noticeable impact on the cryptocurrency market, causing a decline in the prices of major cryptocurrencies such as Bitcoin (BTC), Ether (ETH), and XRP (XRP). However, following the reversal of martial law, these cryptocurrencies have begun to recover, with BTC, ETH, and XRP regaining 2.4%, 3.3%, and 9.2% of their value, respectively.
A White House spokesperson expressed relief over President Yoon's decision to respect the National Assembly's vote and reverse the martial law declaration. This development comes on the heels of a significant surge in South Korea's retail crypto trading volumes, which reached their second-highest level of the year on December 2. Traders were particularly active with a series of high-momentum altcoins, leading to substantial trading volumes.
XRP led the trading activity with over $6.3 billion in volume, followed by Dogecoin (DOGE) at $1.6 billion, Stellar (XLM) at $1.3 billion, Ethereum Name Service (ENS) at $900 million, and Hedera (HBAR) at $800 million. The reversal of martial law and the stabilization of the cryptocurrency market are seen as positive developments for traders and investors alike.
