South Korean stocks fell 4.6% within half an hour of opening. Did they drag crypto prices down this morning? 📉
This morning, South Korea’s KOSPI fell 4.63% less than half an hour after opening, dropping below 6,100 points. The decline then widened to 5%.
SK Hynix fell more than 7%, while Samsung Electronics dropped nearly 6%.
Crypto hasn’t looked great over the past 24 hours either (Binance spot prices, around 9:20 a.m. Beijing time):
🔹 BTC hit a low of 81,033 and is currently at 82,087, down 2.17%
🔹 ETH fell 3.56%; open interest in futures contracts across the market dropped 6.29% over 24 hours
🔹 SOL fell below $105
📌 Why South Korean stocks plunged
The trigger was chips. Progress in DRAM by Chinese memory maker ChangXin Memory Technologies (CXMT), combined with weakness in U.S. chip stocks, fueled concerns about intensifying competition in the memory market.
Foreign investors were the main sellers, with net sales of about 469.8 billion won in the first half hour after the open. Retail investors went the other way, buying a net 300.9 billion won.
📌 How it spilled over into crypto
BitMine chairman Tom Lee pointed to two channels: margin liquidations at South Korean brokerages, and the fact that South Korean investors are significant holders of crypto assets. He described the impact as short-term pain.
When stock accounts face margin calls, liquid assets are usually among the first to be sold—and crypto is one of them. Exactly how much money has flowed out of crypto markets is still unclear.
📌 My take
1️⃣ The source of this move was the Asian chip sector, and it had little to do with crypto-specific bad news. The spillover came through overlapping investor positions.
2️⃣ Jiang Zhuo’er’s view this morning was that $80,000 would probably give way, while $77,000 would probably hold. His reasoning: $77,000 is the price with the highest trading volume across two ranges (POC). Treat it as a reference level, not a promise.
3️⃣ Futures open interest is falling, which suggests some traders are deleveraging. When prices fall, declining open interest is a bit healthier than falling prices alongside rising open interest.
💡 For smaller investors: Chain reactions during the Asian morning session can happen fast, so move liquidation prices farther away on leveraged positions first. If you’re looking to buy spot, scaling in is safer than going all in. Whether chip stocks can stop falling after U.S. markets open tonight is the next thing to watch.
Were you shaken out by South Korean stocks this morning, or did you take the opportunity to add to your position?
The above is only my personal opinion and does not constitute investment advice. DYOR.
#BTC #ETH #比特币期权波动率创五年新低 #SouthKoreaTokenizedSecuritiesMayExpandToBondFunds
This morning, South Korea’s KOSPI fell 4.63% less than half an hour after opening, dropping below 6,100 points. The decline then widened to 5%.
SK Hynix fell more than 7%, while Samsung Electronics dropped nearly 6%.
Crypto hasn’t looked great over the past 24 hours either (Binance spot prices, around 9:20 a.m. Beijing time):
🔹 BTC hit a low of 81,033 and is currently at 82,087, down 2.17%
🔹 ETH fell 3.56%; open interest in futures contracts across the market dropped 6.29% over 24 hours
🔹 SOL fell below $105
📌 Why South Korean stocks plunged
The trigger was chips. Progress in DRAM by Chinese memory maker ChangXin Memory Technologies (CXMT), combined with weakness in U.S. chip stocks, fueled concerns about intensifying competition in the memory market.
Foreign investors were the main sellers, with net sales of about 469.8 billion won in the first half hour after the open. Retail investors went the other way, buying a net 300.9 billion won.
📌 How it spilled over into crypto
BitMine chairman Tom Lee pointed to two channels: margin liquidations at South Korean brokerages, and the fact that South Korean investors are significant holders of crypto assets. He described the impact as short-term pain.
When stock accounts face margin calls, liquid assets are usually among the first to be sold—and crypto is one of them. Exactly how much money has flowed out of crypto markets is still unclear.
📌 My take
1️⃣ The source of this move was the Asian chip sector, and it had little to do with crypto-specific bad news. The spillover came through overlapping investor positions.
2️⃣ Jiang Zhuo’er’s view this morning was that $80,000 would probably give way, while $77,000 would probably hold. His reasoning: $77,000 is the price with the highest trading volume across two ranges (POC). Treat it as a reference level, not a promise.
3️⃣ Futures open interest is falling, which suggests some traders are deleveraging. When prices fall, declining open interest is a bit healthier than falling prices alongside rising open interest.
💡 For smaller investors: Chain reactions during the Asian morning session can happen fast, so move liquidation prices farther away on leveraged positions first. If you’re looking to buy spot, scaling in is safer than going all in. Whether chip stocks can stop falling after U.S. markets open tonight is the next thing to watch.
Were you shaken out by South Korean stocks this morning, or did you take the opportunity to add to your position?
The above is only my personal opinion and does not constitute investment advice. DYOR.
#BTC #ETH #比特币期权波动率创五年新低 #SouthKoreaTokenizedSecuritiesMayExpandToBondFunds