[Bitcoin Now] Virtual Asset Trading Volume Rebounds for the First Time in Months

Rebound After Seven Consecutive Months of Decline
Altcoin Strength Among Key Factors
"Temporary Uptick Possible Due to Strong Domestic Stock Market"

After seven consecutive months of decline, the domestic virtual asset trading volume has rebounded for the first time in a while. This is attributed to the passage of the three major virtual asset bills in the United States and the strong performance of altcoins.

According to CoinGecko, a virtual asset market data site, as of August 7, the trading volume at the five major domestic virtual asset exchanges-Upbit, Bithumb, Coinone, Korbit, and Gopax-reached 160.23098 billion dollars last month. This is more than double the 70.83527 billion dollars recorded in June.

Virtual asset trading volume had been continuously declining since December of last year. After recording 375.13097 billion dollars in December 2024, it dropped to 251.20826 billion dollars in January, 144.48020 billion dollars in February, and 121.57376 billion dollars in March. June saw the lowest figure of the year.

The rebound in trading volume is seen as a result of the strong performance of altcoins and the passage of the three major virtual asset bills in the U.S. House of Representatives. Altcoins refer to virtual assets other than Bitcoin. Among altcoins, Ethereum rose from 2,510 dollars on July 6 to 3,570 dollars on August 6, while Ripple increased from 2.2 dollars to 2.9 dollars, demonstrating the strength of altcoins.

The three major virtual asset bills passed by the U.S. House of Representatives last month are: the GENESIS Act (Stablecoin National Innovation Guidance Act), the Clarity for Payment Stablecoins Act (Virtual Asset Clarification Act), and the Anti-CBDC Act (CBDC Surveillance State Prevention Act).

An official from the virtual asset industry stated, "The sharp increase in domestic virtual asset trading volume last month appears to be the result of a combination of positive factors both domestically and internationally. The passage of the three major virtual asset bills by the U.S. House of Representatives has fueled expectations for institutionalization, which is now reflected in the market." The official added, "After Bitcoin reached an all-time high, the upward momentum spread to Ethereum and major altcoins, which also contributed to the increase in trading volume."

However, some analysts believe that the increase in trading volume may be temporary, as liquidity from virtual assets is moving to the stock market. The KOSPI index rose by 3.04% in April, 5.52% in May, 13.86% in June, and 5.66% in July. As a result, trading volume also increased: KOSPI trading volume was 174 trillion won in April, rising to 289 trillion won in June and 298 trillion won in July.

A representative from a virtual asset exchange explained, "Despite Bitcoin reaching an all-time high last month, more investment demand flowed into the stock market. Since the inauguration of the Lee Jaemyung administration, the KOSPI has shown a steep upward trend, making the domestic stock market a more attractive investment destination than virtual assets."

The representative further stated, "As the stock market rebounded on the back of policy expectations, the relative attractiveness of the virtual asset market has diminished. It is expected that investment demand for the domestic stock market will continue to flow in during the second half of the year, depending on government policies."