Traders Eyeing Bottom on Upbit After South Korea’s Martial Law Sparks BTC Flash Crash

Whales made significant moves on South Korea’s Upbit exchange following the announcement of emergency martial law, with substantial amounts of Tether’s USDT stablecoin transferred to the platform in response to a sudden flash crash in Bitcoin (BTC) and other cryptocurrencies.

Data from blockchain analytics firm Lookonchain shows that within an hour of President Yoon Suk Yeol declaring martial law, over $163 million in USDT was deposited on Upbit. The president’s declaration accused opposition parties of supporting North Korea and destabilizing the nation’s political framework.

USDT, a widely-used stablecoin, often serves as a means to purchase cryptocurrencies, and this large influx suggests that traders were looking to capitalize on discounted prices in the wake of the crash.

“Whales have been moving large quantities of USDT to Upbit, likely to seize bottom-fishing opportunities,” Lookonchain observed on X (formerly Twitter).

Following the announcement, Bitcoin’s price briefly dropped to $63,000 on Upbit, before recovering to around $94,000, which is still slightly lower than the global average of $95,800, according to TradingView data.

The state of emergency has sparked concerns about potential government censorship, which could be prompting investors to turn to assets like Bitcoin, known for its resistance to seizure.