South Korean cryptocurrency exchange Upbit exploded on December 3
On December 3, South Korean cryptocurrency exchange Upbit experienced a serious explosion, which attracted widespread attention from the market.
1: Background of the incident
In the evening of the same day, South Korean President Yoon Seok-yeol suddenly announced the implementation of "emergency martial law", citing many reasons such as the opposition party coercing the parliament and disrupting the country, and expressed the need to eliminate "anti-national forces" in South Korea. As soon as this news came out, all sectors of South Korean society were strongly shocked, and the capital market was also greatly impacted.
2: Process of the incident
Affected by this political event, the Korean currency circle collectively plunged, and Upbit was the first to bear the brunt. The price of Bitcoin on Upbit dropped by 30% to as low as $66,500, while Ripple dropped by 60% from $2.9 to $1.16. At the same time, according to Lookonchain monitoring, more than 163 million USDT flowed into Upbit within one hour after South Korea announced "martial law". The market speculated that some investors thought it was time to buy at the bottom.
4: Analysis of the cause of the incident
On the one hand, the suddenness and uncertainty of political events led to the spread of panic in the market. Investors sold their cryptocurrencies in order to avoid risks, causing prices to plummet. On the other hand, the cryptocurrency market itself has high volatility and risks, and lacks effective supervision and a stable market mechanism, making it more vulnerable to major events. As one of the largest cryptocurrency exchanges in South Korea, the large number of transactions and capital flows on Upbit's platform also exacerbated the volatility of the market.
5: The reasons behind this incident are complex, but it does not affect our long-term optimism about the crypto market. We continue to be optimistic about the primary market #puppies , Ethereum chain! Don't go wrong!
