South Korea's Cryptocurrency Market Sees Growth Driven By Premium Index

According to Odaily, a recent report by Chainalysis reveals that South Korea's cryptocurrency market is experiencing growth, primarily driven by the rise in the Korea Premium Index. The report highlights that local demand, institutional trading, and unique market conditions are causing cryptocurrency prices on local exchanges to exceed global averages. The Korea Premium Index measures the price difference of cryptocurrencies like BTC, ETH, and altcoins between South Korean exchanges and the global market. Chainalysis notes a significant increase in this index, indicating that South Korean traders are paying above-market prices for digital assets. During periods of market uncertainty and volatility, this premium reaches historical highs, prompting both retail and institutional investors to seize potential profit opportunities. The report further emphasizes that South Koreans frequently use local exchanges for fund management, and the amount transferred from local to global exchanges is highly correlated with the premium.