This week, trading volumes for XRP and Dogecoin (DOGE) have significantly outpaced Bitcoin (BTC) on South Korean crypto exchanges, contributing to a surge in the prices of these tokens. According to CoinGecko, XRP and DOGE combined accounted for as much as 30% of the total trading volume on Upbit, South Korea’s largest exchange, and nearly 20% on Bithumb in the last 24 hours. This is notably higher than Bitcoin’s typical market share, signaling a short-term spike in demand for these two tokens within the country.
However, part of this increase may be due to wash trading, a practice where automated trading systems execute trades repeatedly to create the illusion of high market activity.
Notably, Upbit has led global exchanges in XRP trading volume, even surpassing major platforms like Binance and Coinbase, with transactions conducted in the Korean won and converted to USD. Meanwhile, Binance and Coinbase dominate trading volumes for DOGE worldwide.
Over the past few weeks, both XRP and DOGE have been among the top performers, with each token more than doubling in value within the last two weeks. Their futures contracts have also surged to yearly highs.
South Korean traders are often credited with driving euphoric rallies in the market, which can amplify buying pressure and influence token prices. XRP’s recent gains are largely linked to the evolving U.S. regulatory environment, which has provided a favorable backdrop for tokens tied to companies like Ripple Labs, which faces legal challenges from the U.S. Securities and Exchange Commission (SEC).
On the other hand, DOGE’s recent rise follows a Republican victory in the U.S. elections, as well as a renewed push by tech mogul Elon Musk, who has been tapped to lead the proposed Department of Government Efficiency (D.O.G.E) under a potential Trump administration.
The heightened trading activity in South Korea could signal a local peak for both XRP and DOGE, potentially indicating market froth, as previously noted in CoinDesk’s analysis.
Despite the potential for a pullback, CoinDesk’s markets analyst Omkar Godbole remains optimistic about XRP’s near-term prospects. “XRP is holding steady above $1 after a powerful rally—the strongest in three years! While intraday charts hint at a possible pullback, it could set the stage for another upward move,” said Godbole. “Momentum indicators on longer charts are firmly bullish. Key supports to watch out for are 96 cents and 65 cents. Resistance looms at $1.26 and $1.40, echoing the supply zone from September 2021.”
As of Wednesday afternoon in Asia, XRP is trading just over $1, while DOGE is hovering just under 40 cents.
