The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
  • Login
  • Register
  • Login
  • Register
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
  • 1

    Kim Min-gyu, Go Bo-gyeol bid farewell to 'The Heavenly Idol'

  • 3

    Han Suk-kyu on return of 'Dr. Romantic' with Season 3

  • 5

    Genesis launches 2023 G90 sedan

  • 7

    Do Kwon, Korea's crypto 'genius' turned disgraced fugitive

  • 9

    North Korea will pay price for reckless provocations, warns Yoon

  • 11

    N. Korea tests 'underwater nuclear attack drone,' cruise missiles for nuclear warhead: KCNA

  • 13

    Kakao Entertainment, Colombia Record team up for IVE's North American debut

  • 15

    Second daughter of Daesang chairman promoted to vice president

  • 17

    Over 70% of firms unwilling to embrace longer workweek

  • 19

    Crypto founder Do Kwon is indicted in US, following Montenegro arrest

  • 2

    Zoo shares sad story of what caused Sero the zebra to escape

  • 4

    Kim Nam-gil to embark on Asia fan-meeting tour

  • 6

    Kyochon heralds 30,000 won fried chicken era

  • 8

    Churches, Seoul gov't unite to fight low birthrate

  • 10

    What's next for Terra founder Do Kwon?

  • 12

    Hybe to sell SM shares to Kakao following failed takeover bid

  • 14

    Burnout: Cardiothoracic surgery residents work 102 hours a week

  • 16

    Montenegro charges crypto fugitive Do Kwon with forgery

  • 18

    BTS' Jimin releases solo album

  • 20

    More companies adopt electronic voting amid increase in shareholder activism

Close scrollclosebutton

Close for 24 hours

Open
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
Sun, March 26, 2023 | 21:18
Cryptocurrency's decoupling with Nasdaq accelerates after Luna scandal
Posted : 2022-06-02 16:24
Updated : 2022-06-03 15:32
Lee Min-hyung
Print PreviewPrint Preview
Font Size UpFont Size Up
Font Size DownFont Size Down
  • facebook
  • twitter
  • kakaolink
  • whatsapp
  • reddit
  • mailto
  • link
The once-red hot price of Luna token is displayed at a customer service center of Bithumb in Seoul, May 27. Yonhap
The once-red hot price of Luna token is displayed at a customer service center of Bithumb in Seoul, May 27. Yonhap

By Lee Min-hyung

Cryptocurrency's decoupling with the Nasdaq is accelerating in the wake of the recent collapse of Terra's Luna token.

Before the abrupt crash of the once-popular Terra ecosystem, overall cryptocurrency prices moved in tandem with the Nasdaq. According to data from CoinMarketCap, Bitcoin's price fell by around 2.4 percent at 8 a.m., May 28. This was in contrast to an overnight rebound of major Wall Street indexes. The S&P 500 closed with a gain of 2.47 percent on Friday, with the Nasdaq extending a gain of 3.33 percent during the same period.

The decoupling between Bitcoin and U.S. stock indexes was not evident before the Luna collapse. Crypto investors have so far been paying close attention to the ups and downs of the Nasdaq this year when investing in Bitcoin and other altcoins, as their price movement coupled with each other amid growing woes over risky assets after the U.S. started its monetary tightening policy.

The recent decoupling was largely attributable to the worsening investor sentiment in the crypto market after the unexpected collapse of Terra and Luna in early May.

Even if cryptocurrencies and U.S. stocks are generally categorized as risky assets in this period of global monetary tightening, the former has continued its losing streak in recent weeks, with investors' fear sentiment reaching its peak, unlike U.S. stocks which bounced back last week on a technical rally.

Industry officials said the decoupling would remain in place for the time being in the aftermath of the Luna debacle, which led to trillions of won in losses.

"The Nasdaq's movement was a key indicator when crypto investors purchase or sell their assets, as both of them showed a similar pattern in general up until recently," an industry analyst said. "But this appears not to be the case for now, when a growing number of investors identify crypto assets as more riskier than U.S. stocks."

It remains unclear whether the crypto market will be able to achieve a major rebound in the foreseeable future, as the U.S. and major economies around the world are on track to increase their benchmark rates. The Federal Reserve and the Bank of Korea have already increased their key rates and hint at doing so a couple more times before the end of this year.

On top of that, investors' initial response to the Terra Luna 2.0 remains skeptical, with the rebranded Luna price showing extreme volatility after it made its renewed debut last weekend.

Data from CoinMarketCap showed that the new Luna price topped $10 at one time on May 31, but fell to around $6 as of Thursday afternoon. With global financial authorities stepping up monitoring of the crypto market, fewer investors are also willing to go on a buying spree of major cryptocurrencies.


Emailmhlee@koreatimes.co.kr Article ListMore articles by this reporter
 
Top 10 Stories
1Kyochon heralds 30,000 won fried chicken era Kyochon heralds 30,000 won fried chicken era
2Yoon's labor reform drive sputters due to controversy over lengthening workweek Yoon's labor reform drive sputters due to controversy over lengthening workweek
3Horace N. Allen: Joseon's foreign royal physician Horace N. Allen: Joseon's foreign royal physician
4Apple Pay service limited by lack of NFC terminalsApple Pay service limited by lack of NFC terminals
5From mines to mobility: 140-year-old partnership between Germany and Korea From mines to mobility: 140-year-old partnership between Germany and Korea
6Unrest on the Island of World Peace in 1903 Unrest on the Island of World Peace in 1903
7Chun Doo-hwan's grandson to apologize to bereaved families of Gwangju uprising Chun Doo-hwan's grandson to apologize to bereaved families of Gwangju uprising
8Foreign minister hosts Iftar dinner for Muslims in Korea Foreign minister hosts Iftar dinner for Muslims in Korea
9South Korea speeds up full-fledged deployment of US anti-missile batterySouth Korea speeds up full-fledged deployment of US anti-missile battery
10Firstborns account for record-high 63% of newborns Firstborns account for record-high 63% of newborns
Top 5 Entertainment News
1Kim Min-gyu, Go Bo-gyeol bid farewell to 'The Heavenly Idol' Kim Min-gyu, Go Bo-gyeol bid farewell to 'The Heavenly Idol'
2Han Suk-kyu on return of 'Dr. Romantic' with Season 3 Han Suk-kyu on return of 'Dr. Romantic' with Season 3
3Kim Nam-gil to embark on Asia fan-meeting tour Kim Nam-gil to embark on Asia fan-meeting tour
4Two curators to lead Korean pavilion at Venice Art Biennale in 2024 for first time Two curators to lead Korean pavilion at Venice Art Biennale in 2024 for first time
5[INTERVIEW] How ATEEZ achieved worldwide success INTERVIEWHow ATEEZ achieved worldwide success
DARKROOM
  • Turkey-Syria earthquake

    Turkey-Syria earthquake

  • Nepal plane crash

    Nepal plane crash

  • Brazil capital uprising

    Brazil capital uprising

  • Happy New Year 2023

    Happy New Year 2023

  • World Cup 2022 Final - Argentina vs France

    World Cup 2022 Final - Argentina vs France

CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Contact Us
  • Products & Services
  • Subscribe
  • E-paper
  • RSS Service
  • Content Sales
  • Site Map
  • Policy
  • Code of Ethics
  • Ombudsman
  • Privacy Statement
  • Terms of Service
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group