Bitcoin continues to struggle after the SEC’s approval of the highly anticipated spot ETFs. But there may be no immediate relief for the flagship cryptocurrency.
In fact, the positive and negative movements of the Korean “Kimchi” Premium and the Coinbase Premium, respectively, signal a potential short-term correction in the Bitcoin market.
Bitcoin: Short-Term Correction Imminent
The Korea Premium Index is an important metric to monitor market shifts. This index assesses the ‘Kimchi Premium’ and provides insights into market sentiment within South Korea, which is one of the largest crypto players in the world.
According to CryptoQuant’s on-chain analytics platform, when the Korean Premium increases by more than 3 percent, and Coinbase Premium turns negative, this indicates that US investors are actively selling their Bitcoins, while South Koreans are buying Bitcoins at a competitive rate.
While referring to the historical chart, CryptoQuant’s on-chain analyst, MAC_D, said,
“The historical chart shows that when the Korea Premium overheats by more than 3% and the Coinbase Premium turns negative, it means that US investors are selling and South Korean…