South Korea's Crypto Trading Volumes Surpass Stock Market by 22 Percentage, Hitting $18 Billion in a Single Day

South Korea's cryptocurrency market reached a major milestone on December 2, with trading volumes soaring to $18 billion in just 24 hours, according to 10x Research. This impressive figure outpaced the nation's stock market trading volumes by 22%, highlighting the country's growing retail enthusiasm for cryptocurrencies, particularly altcoins like Hedera (HBAR), Dogecoin (DOGE), Stellar (XLM), and Ripple (XRP).

This trend underscores South Korea's status as a major player in the global crypto landscape, where altcoins are increasingly taking the spotlight, contributing significantly to the country's trading activity.

Crypto Overtakes Stocks Despite Stock Market Resurgence

While the cryptocurrency market thrived, South Korea's stock market also remained robust, witnessing its largest foreign inflow in three months. On December 2, global investors poured $385 million into Kospi Index shares, resulting in a 1.9% gain for the benchmark index after two days of declines.

According to Seo Sang-young, a strategist at Mirae Asset Securities Co., the foreign inflows were driven by improved U.S. economic indicators. For example, the ISM Manufacturing New Orders gauge entered expansion territory for the first time in eight months, boosting confidence in South Korea’s export-driven economy.

Despite the stock market's recovery, the crypto market outshined traditional equities in trading volume, showcasing its growing appeal to both retail and institutional investors in South Korea.

Altcoins Lead the Charge

Altcoins were the driving force behind the surge in cryptocurrency trading volumes. According to 10x Research, Ripple's XRP led the charge with a staggering $6.3 billion in trading activity, followed by Dogecoin with $1.6 billion and Stellar with $1.3 billion.

XRP, in particular, reached a yearly high of $2.80, making it the third-largest cryptocurrency by market capitalization after surpassing Tether (USDT). XRP’s global trading volume hit an impressive $42.65 billion within the last 24 hours, further solidifying its position as a key player in the market.

Other altcoins, such as Ethereum Name Service (ENS) and Hedera (HBAR), also saw significant activity, signaling a broader altcoin season.

According to CoinMarketCap’s Altcoin Season Index, altcoins currently dominate the market with an 83% dominance over Bitcoin.

Breakout Performances and Trading Opportunities

Several altcoins experienced breakout momentum, presenting lucrative opportunities for traders. Notably:

• Tezos (XTZ) surged by 96%, while
• Enjin Coin (ENJ) rose by 91%, according to trading signals from 10x Research.

These gains reflect a growing interest in altcoins, driven by robust trading signals and market dynamics favoring smaller-cap cryptocurrencies.

Expert Insights: Altcoin Season Dominates

Markus Thielen, founder and CEO of 10x Research, highlighted the dominance of altcoins in the current market landscape. “The action is clearly in the altcoin market,” Thielen remarked, noting that Bitcoin funding rates remain steady at 15%, while altcoin trade volumes continue to dominate.

Thielen's observations are supported by trading data and market sentiment, which indicate that retail and institutional investors are actively exploring opportunities in altcoins rather than focusing solely on Bitcoin.

Implications for South Korea's Crypto Ecosystem

South Korea has long been recognized as a hotspot for cryptocurrency trading, but the recent surge in activity underscores the country’s shifting financial priorities. The growing dominance of altcoins reflects a maturing market where investors are diversifying their portfolios beyond traditional assets like stocks and even beyond Bitcoin.

The retail enthusiasm for veteran tokens like XRP, DOGE, XLM, and HBAR, combined with the breakout performances of coins like Tezos and Enjin, illustrates the increasing sophistication of South Korea's crypto traders.

Additionally, the broader market trends, such as altcoin dominance and the steady inflow of foreign capital into the stock market, highlight South Korea's dual role as a hub for both traditional and digital financial innovation.

Conclusion

South Korea’s crypto trading volumes surpassing its stock market marks a pivotal moment for the country's financial landscape. As altcoins continue to dominate trading activity and retail interest remains high, South Korea's crypto ecosystem is poised for further growth.

This shift also signifies a larger global trend, where digital assets are not just gaining traction but actively challenging traditional financial markets in terms of participation and volume. Investors, both retail and institutional, will likely keep a close eye on South Korea as it continues to influence the global cryptocurrency market.