As martial law was declared, Bitcoin and XRP momentarily fell by 30% on South Korean exchanges.

On Tuesday evening, South Korean President Yoon Suk Yeol declared “emergency martial law,” prompting a sharp reaction in the local cryptocurrency market. The president accused opposition parties of destabilizing the nation by aligning with North Korea and obstructing the legislative process.

The announcement caused major cryptocurrencies, including Bitcoin and XRP, to drop by as much as 30% on South Korean exchanges. On Upbit, Bitcoin’s value fell from $96,000 to $63,000 in U.S. dollar terms, before quickly recovering.

South Korean traders are known for creating significant market momentum, often influencing the global prices of cryptocurrencies through aggressive buying. Exchanges like Upbit and Bithumb, which sometimes surpass global platforms like Binance and Coinbase in trading volume, are at the heart of this activity.

Following the declaration, both Upbit and Bithumb reported delays in their feeds and performance due to the surge in trading activity, with users scrambling to react to the news of martial law.