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Bitcoin Maintains Premium in South Korea Despite Global Dip

Bitcoin (BTC) is trading at a 1.53% premium on South Korean exchanges, with prices at $59,900, compared to the global price of around $59,000. This phenomenon, known as the "Kimchi Premium," has been consistent since October 30, 2023, with only a brief dip on August 22, 2024.

South Korean investors have been driving the Bitcoin market recovery, with the South Korean won being the second most-used fiat currency for Bitcoin trading after the US dollar. The premium saw a notable increase following the US SEC's approval of a Bitcoin spot ETF earlier this year, peaking at over 10% on March 16, 2024.

In contrast, Coinbase experienced a much smaller premium, peaking at just 0.07% on August 22, 2024, before slipping back into the negative. South Korea's stringent capital controls and regulatory frameworks help sustain the local premium, despite the broader market's uncertainties.