Bitcoin surges past $71,000 during a record South Korean stock market crash of 18% this week

The South Korean stock market (KOSPI) suffered a massive two-day compounded drop of approximately 18.4%, closing near 5,094 after a 12.06% single-session fall, marking its largest drop since 2008. This selloff was driven by fears related to conflict-driven oil disruption risks (South Korea is a major energy importer) and significant pressure on the Korean won, which briefly weakened toward 1,500 per USD. Amid this regional risk-off event, Bitcoin unexpectedly moved higher during Asian hours, briefly approaching $72,000, demonstrating a breakdown in typical correlation. The divergence highlights whether markets like Bitcoin act as a funding source or a release valve during concentrated shocks. Bitcoin's relative strength is attributed to its different mechanics, being less sensitive to direct oil import costs and more responsive to liquidity, positioning changes, and its established $60,000–$70,000 trading range, rather than macro developments alone. Future market direction depends on whether oil risk premium fades, allowing focus to return to Bitcoin's range and flows, or if persistent volatility forces broader deleveraging.

(Source：CryptoSlate)