Upbit trading volume spikes 273% as South Korean investors re-enter crypto

Upbit, South Korea's largest cryptocurrency exchange, saw its 24-hour trading volume surge 273% amid the latest bitcoin (BTC) rally.According to CoinGecko data, Upbit processed around $1.84 billion worth of crypto transactions in the past day, which marks the largest daily volume the exchange has seen since mid-March.The most-traded cryptocurrency on Upbit in the past 24 hours was XRP, which saw $418.9 million worth of trades. Bitcoin, USDT, and ether followed.Bithumb, the country's second-largest crypto exchange, also saw a 132.9% rise in volume to $934.9 million in the past day. XRP was again the most-traded cryptocurrency on the platform.Stocks to cryptoThe prolonged crypto bear market that began in early 2026 diverted attention and capital away from South Korea's local crypto market. The shift intensified as the KOSPI, the country's benchmark stock index, climbed to record highs, driven by the AI memory boom in semiconductor giants Samsung Electronics and SK Hynix.South Korea's waning interest in crypto became painfully visible in Upbit and Bithumb's H1 results. Both companies reported roughly 50% drops in operating revenue in the first half of this year. Upbit's net profit fell 74% during the period, while Bithumb swung to a net loss from a profit.Although the stock market entered a period of extreme volatility from late June, many South Korean investors had remained focused on the semiconductor rally. However, the latest rebound in bitcoin and the broader crypto market — fueled by the U.S. Treasury Department's expanded debt buyback announcement — is gradually drawing investors' attention back to digital assets, one market observer said.Return-chasing, not asset-loyal"While it's too early to call this a rotation given it's only been two days, we'd expect a much larger influx of capital into crypto if the rally holds," Min Jung, associate researcher at Presto Research, told The Block. "There's a growing sense that crypto still has room to run. KOSPI has already rallied hard this year while crypto lagged, so investors are starting to look at where the catch-up trade is."Jung said in a message earlier this week that Korean retail has always been "return-chasing" rather than "asset-loyal," and that a meaningful rotational flow into crypto is likely.When that larger influx of Korean capital enters the market, Jung said it should have a significant impact on global prices as Korean flows have historically moved the market beyond their share of global volume."It's somewhat chicken and egg, though," Jung added. "Korean capital tends to follow a rally rather than start one, so the more likely path is that global momentum pulls Korean money in, which then amplifies the move."Bitcoin is up 8.28% in the past 24 hours, trading at $78,554, according to The Block's bitcoin price page. The wider crypto market is up 7.2% in the past day.Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.© 2026 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.