Ethereum is off to a great start in 2018. Just last week, the cryptocurrency showed immense growth when it reached a new peak at just beyond the $1,000 mark, a first for the cryptocurrency since its establishment two years ago. This event led to a total market cap of over $100 billion, which made Ethereum one of the few cryptocurrencies to transcend the $100 billion barriers.
Despite this momentous achievement, the event was eclipsed within only four days when ether experienced another significant growth in value. The coin grew by 15% overnight and the popular cryptocurrency achieved a global average trading price of around $1,266.
This new price surge is thought to be partly attributed to the enthusiastic South Korean market and the major cryptocurrency exchanges operating within it, including crypto exchange giants such as Coinone, Bithumb, and Korbit. In the South Korean market alone, ether managed to reach prices as high as $1,800, which signifies a $534 premium over the average price on international exchanges. This number equates to a 29.6% premium.
The Seoul-based cryptocurrency exchange platform, Bithumb, currently lists Ethereum as the third most traded cryptocurrency in the world. According to the leading platform, which is second to Binance, Ethereum enjoys a daily trading volume average of $378 million.
Despite the massive price increase, there is no specific event or development that can be said to have triggered the growth. Generally speaking, Ether has enjoyed steady growth in the last year. The Ethereum network processes an average of 1.2 million transactions daily. This significant rise in user activity on the network could perhaps be considered to be a contributing factor to the general price of ether.
However, considering the South Korean market, as well as the sudden increase in demand, the latest price increase could simply be attributed to a severe case of crypto-FOMO, or rather Fear of Missing Out on something in the cryptomarket. The South Korean market is perhaps characterized by the FOMO mentality when it comes to making cryptocurrency investment decisions.
In addition, some experts have also pointed out that the seemingly random price increase could be due to the Ethereum network’s adoption of the cryptocommunity’s new craze: decentralized applications. Recent phenomena, such as CryptoKitties and EtherDelta, have perhaps highlighted the many possibilities available to users when using a peer-to-peer based trading system.
Considering the high selling price of ether in South Korean markets, new policies pertaining to cryptocurrency trading will prohibit foreign traders from benefiting from the significant price premium. All potential investors need a South Korean mobile number in order to register themselves on the relevant cryptocurrency exchange platforms. Unless you are a South Korean resident, it will be impossible to procure a phone number, as South Korea-based telecommunications firms refuse to issue number to those without South Korean citizenship, a work permit, or a residence permit.
In addition, new policies dictate that potential investors require a South Korean bank account in order to register. No South Korean bank issues a bank account number to a foreigner. The recent government crackdown on banks and their virtual accounts policies will also make this an insurmountable obstacle to potential foreign investors.
New policies also dictate that minors are prohibited from participating in the cryptocurrency industry.
The latest policies could also perhaps have contributed to the high price of most cryptocurrencies in South Korea, as compared to the rest of the world. The immense capital control has ensured that the South Korean market is isolated from foreign influence. At the very least, 2018 will be an interesting year for the South Korean cryptocurrency industry.
Despite this momentous achievement, the event was eclipsed within only four days when ether experienced another significant growth in value. The coin grew by 15% overnight and the popular cryptocurrency achieved a global average trading price of around $1,266.
This new price surge is thought to be partly attributed to the enthusiastic South Korean market and the major cryptocurrency exchanges operating within it, including crypto exchange giants such as Coinone, Bithumb, and Korbit. In the South Korean market alone, ether managed to reach prices as high as $1,800, which signifies a $534 premium over the average price on international exchanges. This number equates to a 29.6% premium.
The Seoul-based cryptocurrency exchange platform, Bithumb, currently lists Ethereum as the third most traded cryptocurrency in the world. According to the leading platform, which is second to Binance, Ethereum enjoys a daily trading volume average of $378 million.
Despite the massive price increase, there is no specific event or development that can be said to have triggered the growth. Generally speaking, Ether has enjoyed steady growth in the last year. The Ethereum network processes an average of 1.2 million transactions daily. This significant rise in user activity on the network could perhaps be considered to be a contributing factor to the general price of ether.
However, considering the South Korean market, as well as the sudden increase in demand, the latest price increase could simply be attributed to a severe case of crypto-FOMO, or rather Fear of Missing Out on something in the cryptomarket. The South Korean market is perhaps characterized by the FOMO mentality when it comes to making cryptocurrency investment decisions.
In addition, some experts have also pointed out that the seemingly random price increase could be due to the Ethereum network’s adoption of the cryptocommunity’s new craze: decentralized applications. Recent phenomena, such as CryptoKitties and EtherDelta, have perhaps highlighted the many possibilities available to users when using a peer-to-peer based trading system.
Considering the high selling price of ether in South Korean markets, new policies pertaining to cryptocurrency trading will prohibit foreign traders from benefiting from the significant price premium. All potential investors need a South Korean mobile number in order to register themselves on the relevant cryptocurrency exchange platforms. Unless you are a South Korean resident, it will be impossible to procure a phone number, as South Korea-based telecommunications firms refuse to issue number to those without South Korean citizenship, a work permit, or a residence permit.
In addition, new policies dictate that potential investors require a South Korean bank account in order to register. No South Korean bank issues a bank account number to a foreigner. The recent government crackdown on banks and their virtual accounts policies will also make this an insurmountable obstacle to potential foreign investors.
New policies also dictate that minors are prohibited from participating in the cryptocurrency industry.
The latest policies could also perhaps have contributed to the high price of most cryptocurrencies in South Korea, as compared to the rest of the world. The immense capital control has ensured that the South Korean market is isolated from foreign influence. At the very least, 2018 will be an interesting year for the South Korean cryptocurrency industry.