CryptoQuant researchers highlighted that the rapid rise in prices of alternative cryptocurrencies in the past few months was due to high activity in the South Korean markets. Experts noted that local traders demonstrated risky behavior. They speculated without fear in numerous altcoins.
Spot volumes on the local exchange Upbit almost doubled from September to October 2023. This platform accounts for more than 85% of trading volume in Korea. This value jumped by 82% and reached $59.8 billion.
Analysts separately noted the increased interest of local investors in the LOOM cryptocurrency from the Loom Network company. The price of this virtual asset jumped 10 times in 2 months. In addition, the digital token HIFI rose in price by 6600% in September.
“For cryptocurrencies that are only listed on Korean exchanges, if trading volume increases significantly, futures listings for them become popular on overseas platforms,” CryptoQuant analyst Bradley Park told CoinDesk. “From an on-chain perspective, market makers are the purchasing power.”
Park added that HIFI reserves on Upbit increased by 27.5% from 62 million tokens to 82.9 million.