Korean retailers are piling up on XRP and Dogecoin (Doge) amid signs of returning risk-on sentiment among speculative traders.
Trading volumes for two local exchange tokens have surpassed Bitcoin (BTC) and Ether (ETH) in the last 24 hours.
According to some traders, the surges occur amid new risk-on sentiment across crypto and stock markets as US-China trade tensions and macro indicators point to possible rate cuts later this year.
Both XRP and Doge have risen by more than 15% in the past week, surpassing Bitcoin’s 10% move, and ETH has surged nearly 40%, marking its biggest weekly profit since 2021.
“Risk assets have recovered sharply to a level where even the most enthusiastic bears are challenging,” said Augustine Fan, Head of Insights at Crypto Options Platform Signalplus. “We believe pain trade is at a higher price until more macrobears throw in towels.”
Upbit, the largest trading volume in Korea, exceeds $250 million in XRP/KRW and DOGE/KRW 24-hour volumes, while Bitcoin and ether remain below $150 million.
This pattern reflects the previous euphoric retail stage in the Korean crypto market, often referred to as the “Kimchi Premium” era, when local investors actively pursued high volatile assets.
The Korean crypto market has long served as a positive for retail sentiment.
The move also coincides with a wider market rally driven by last week’s massive $1 billion short squeeze as it was forced to close amidst expensive prices.
“We consider this to be a short-grade classic market versus a very one-sided market,” fan added. “There is no evidence of a significant ETF influx, suggesting that this is purely a native positioning event.”
Korea’s enthusiasm reflects improved geopolitical sentiment. US and Chinese officials said on Monday they would significantly cut tariffs on some goods from 145% to 30% for 90 days, following weeks of speculation about what the two superpowers would do.
“Investors aren’t too worried about crypto as US-China trade negotiations have discovered that resolution and interest rate cuts are more likely,” said Jeff May, BTSE COO. “If the Fed directs Dovish Pivot next month, it will pass Bitcoin’s highest ever high and rediscover its lending and investment in the US economy.”
Traders continue to monitor follow-throughs on the ETF flows of the scheme and future central bank guidance in June, but the short-term momentum suggests that Altcoin’s speculation is leading the current leg higher.