South Korean investors, who are quite influential in the cryptocurrency market, have moved away from Bitcoin and towards altcoins.
The reason for South Korean investors moving away from Bitcoin was cited as the negative Bitcoin Korea premium index of CryptoQuant.
CryptoQuant’s Bitcoin Korea premium index, which measures the price difference between Korean and overseas exchanges, turned negative and fell to -0.55, reflecting the deepest decline since October 2023, data showed.
This means that the Bitcoin price on Korean exchanges is trading at its biggest discount since October 2023, meaning lower.
The fact that the BTC price was traded at a discount on Korean stock exchanges led investors to turn from Bitcoin to altcoins.
Citing the negative turn in CryptoQuant’s Bitcoin Korea premium index, 10X Research said that South Korean investors have recently shifted from Bitcoin to high-beta altcoins such as UXLINK, CKB, ARK, and PENDLE.
10x Research founder Markus Thielen, in a note to his clients, said that investors are tending to move away from Bitcoin, saying:
“Fast-moving investors are taking the opportunity to invest in undervalued altcoins in anticipation of a strong Q4 rally, and are turning to altcoins like UXLINK, CKB, ARK, and PENDLE.
“Experienced investors have previously accumulated undervalued altcoins such as TAO, ENA, SEI, APT, SUI, NEAR, and GRT when Bitcoin surged past $60,000 to $65,000.”
*This is not investment advice.