Ethereum reached an all-time high in Japan and South Korea.

Ethereum reached a new all-time high in Japan and South Korea on Sunday. The reason may be due to rising domestic demand rather than the influence of exchange rates.

On Monday morning, ETH traded slightly lower compared to the daily high but still well above the recent average.

The listed price in Japanese Yen and South Korean Won has risen dramatically

On August 10, 2024, Ethereum reached ￥639,455 in Japan according to data from CoinMarketCap, surpassing the previous local record of ￥632,954 set on December 17, 2024.

While the price of ETH in USD fluctuated around 4,300 USD at that time—still 12% lower than the all-time high of 4,891 USD in November 2021—the price in yen of this second-largest cryptocurrency has set a new record.

In South Korea, Ethereum reached ￦5,971,000 on 10/08/2024 according to data from the Upbit exchange, surpassing the previous local high of ￦5.9 million from December 2021. This is the highest price in Korean won in nearly 3 years and 8 months.

Investors who only monitor the USD chart may miss important signals from the region. Local peaks often appear before currency trends and demand synchronize.

Impact of the exchange rate? No possibility

Changes in cryptocurrency prices not measured in USD are often related to the influence of exchange rates. However, in this case, that is unlikely to happen. Since the beginning of the year, the won–USD exchange rate has dropped from ₩1,476.23 to ₩1,388.77, and the yen–USD exchange rate has decreased from ¥157.33 to ¥147.65.

Both currencies have risen against the USD during this period. Typically, a stronger local currency means smaller profits when converting from USD. However, the price of Ethereum in both South Korea and Japan has risen more than the price calculated in USD.

This shows that domestic demand is rising in both markets. Transactions are conducted in local currency on domestic exchanges in these two countries, and foreign investors cannot open accounts. These restrictions are due to foreign exchange regulations that limit foreign participation.

It seems that the public in Japan and South Korea has welcomed many factors driving the rise of ETH, including the expansion of business acceptance beyond Bitcoin and an executive order from the US president allowing cryptocurrency investments in 401(k) retirement plans. The US Securities and Exchange Commission (SEC) retracting its lawsuit against Ripple has also supported the broader altcoin market.

This price increase is also supported by the rise in Ethereum purchases by publicly listed U.S. companies implementing the “Ethereum Treasury” strategy—systematically accumulating ETH as a corporate asset.

For example, Bitmine currently holds over 2.9 billion USD in Ethereum after quickly accumulating 833,137 Ether in just 35 days. The company aims to control up to 5% of the total ETH supply through strong accumulation and strategic liquidity partnerships. This approach helps Bitmine lead compared to other public companies, reinforcing its position in holding Ethereum at the institutional level.

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