[Crypto Market Update] Bitcoin Approaching 150 Million Won as Spot Buying Fuels Surge

# Bitcoin Approaches 150 Million Won Amid Strong Spot Market Activity Bitcoin (BTC) is nearing the 150 million won threshold as the spot market displays increased strength. Initiated over the past weekend, this bullish trend is primarily driven by spot trading rather than derivatives movements. By 8:10 a.m. on October 19, Bitcoin traded at 149.6 million won on South Korea’s Upbit, marking a 2.09% rise from the previous day. On Binance, the largest cryptocurrency exchange globally, Bitcoin rose 2.31% to $105,410. The CoinDesk 20 Index, tracking Bitcoin along with 20 notable altcoins, edged up by 0.2%. Among individual tokens, Solana (SOL) and XRP (XRP) gained 1.88% and 1.95% respectively, while Ethereum (ETH) dipped by 1.51%. # Liquidations and Market Sentiment Coinglass reports that Bitcoin liquidations amounted to $96.88 million (about 135.6 billion won) in the last 24 hours, with 62% of liquidations being short positions. Across the wider digital asset market, total liquidations reached $485.13 million (around 679.4 billion won). # Spot Market Dominance and Institutional Involvement The current Bitcoin rally is heavily influenced by spot market action. On October 18, U.S. exchange Coinbase noted net spot purchases totaling $45 million (approximately 63 billion won), reflecting continued buying interest from U.S.-based institutional investors. Meanwhile, selling pressure on Binance has lessened, suggesting a shift in market sentiment towards buyers. Moreover, Bitcoin spot ETFs are bolstering this positive trend. On September 25, Bitcoin spot ETFs experienced record daily inflows of $389 million (around 544.2 billion won). Despite a decline in inflows, an average of $58 million (around 8.11 billion won) daily continues to enter these ETFs, indicating steady interest in spot investments. Glassnode, a blockchain analytics firm, noted, “This rally is driven by genuine demand and spot buying rather than speculative derivatives activity. The gradual price increases suggest a potential for sustained upward momentum in the medium to long term.” # Moody’s Downgrade Sparks Broader Economic Concerns The macroeconomic environment is facing some headwinds. On October 17, Moody’s Investor Service downgraded the U.S. credit rating from Aaa to Aa1. This downgrade means the U.S. no longer holds a 'Triple-A' status with all three major rating agencies—Moody’s, S&P, and Fitch. Investors are closely watching how this might impact U.S. Treasury markets and dollar-denominated assets. Despite the U.S. economy’s robustness, Moody’s highlighted deteriorating fiscal metrics. The U.S. federal budget deficit has expanded to roughly $2 trillion annually, with the debt-to-GDP ratio expected to reach 107% by 2029. European Central Bank President Christine Lagarde remarked on the dollar's recent weakness, “The dollar’s decline, unexpected as it may seem, reflects uncertainty around U.S. fiscal policies and diminishing investor confidence.” Conversely, U.S. Treasury Secretary Scott Bessent downplayed Moody’s decision, describing it as delayed. “Moody’s typically lags behind the markets,” he told NBC, supporting the government's plan to reduce federal spending and boost economic growth. Yet, concerns persist. Max Gokhman, SVP at Franklin Templeton Investment Solutions, cautioned, "Persistent fiscal expansion could undermine U.S. bond demand and reduce the appeal of U.S. assets." # Investor Sentiment Remains Strong The Alternative Fear & Greed Index, which measures cryptocurrency market sentiment, stood at 74 (“Greed”) as of the latest reading, unchanged from the previous day. The index ranges from 0 (extreme fear) to 100 (extreme greed), highlighting ongoing favorable conditions for buyers. The combination of a robust spot market, institutional support, and macroeconomic challenges suggests potential volatility and opportunities in the near term.