XRP Under Pressure: South Korea’s Influence and the $3 Threat

South Korea's Grip on XRP: Is One Nation Steering the Market?

In the ever-evolving world of cryptocurrency, where decentralization is a fundamental principle, a growing concern is emerging among Ripple (XRP) investors and analysts alike. A single country—South Korea—may be wielding disproportionate influence over the price of one of the world’s top altcoins. Recent trading activity centered around South Korea's largest crypto exchange, Upbit, has raised eyebrows across the global financial community, prompting serious questions about market manipulation, investor behavior, and the future trajectory of XRP.

Unprecedented Selloff Raises Alarms

On August 1, an extraordinary event unfolded within the crypto markets. Seoul-based Upbit recorded the sale of approximately 40 million XRP tokens in a single 24-hour period. This figure, by itself, was startling. What amplified concerns was the fact that this selloff was greater than the combined net sales from all other global exchanges during the same period.

XRP, which had recently celebrated a major rally, surging to a yearly high of $3.66, plummeted to a low of $2.73 following the selloff. While some market observers initially dismissed this as a standard correction in a volatile market, further analysis suggested a more intricate and perhaps troubling dynamic. The timing, scale, and concentrated origin of the dump pointed toward a powerful group of traders capable of shifting the global narrative around XRP.

Market Impact: From Rally to Reversal

Leading up to the selloff, XRP had gained significant momentum. On July 18, the token experienced a remarkable 64% rally, rekindling optimism among investors and traders. However, that optimism was short-lived. As the large-scale XRP dumping on Upbit commenced, prices declined rapidly, erasing gains and triggering stop-loss orders across multiple trading platforms.

One particularly vocal crypto analyst, known simply as Dom, highlighted the peculiar timing and volume of the trades. According to Dom, once the selling pressure on Upbit began to ease, the price of XRP rebounded swiftly, even as selling continued on other major exchanges such as Binance. This recovery emphasized the outsized influence Korean traders had on the token’s market direction.

A Pattern Worth Watching

Digging deeper into trading patterns, Dom and other analysts identified a breakout from a long-standing 7-month trading range that XRP had formed against crude oil (USOIL). This breakout initially signaled bullish momentum, but the recent selloff forced the token back toward its earlier support levels.

Source: Dom’s X Post August 3, 2025

As of this writing, XRP is trading near $3.05, with the crucial resistance level of $3.12 looming overhead. Analysts agree that a close above this resistance could reignite a bullish trend, possibly driving the token to the $3.35 to $3.50 range. On the other hand, failure to breach this level might lead to a further decline, potentially down to $2.75 or even lower.

Key Technical Levels:

• Current Support: $2.90

• Immediate Resistance: $3.12

• RSI (Relative Strength Index): 54, indicating a neutral-to-positive momentum

Why South Korea Matters More Than Ever

The role of South Korean investors in the broader crypto ecosystem is not a new topic. However, the magnitude of their impact on XRP, as demonstrated in this recent event, has renewed discussions about the potential for geographic concentration of influence in what is supposed to be a decentralized market.

Upbit, South Korea’s largest crypto exchange, commands a significant portion of XRP’s trading volume. In fact, XRP is among the top traded cryptocurrencies on the platform, with local traders often accounting for a sizeable chunk of the token’s daily liquidity. This concentration means that decisions made by a relatively small group of Korean traders can reverberate globally, influencing investor sentiment and price action far beyond South Korea’s borders.

Such dynamics pose serious questions about market fairness and decentralization. If one regional exchange and its users can trigger a global selloff, is the market truly open and balanced? And more importantly, what implications does this hold for retail investors in other parts of the world?

Ripple's Future: In the Hands of Whales?

It is important to recognize that not all Korean traders are intentionally manipulating the market. In many cases, rapid buy-sell decisions are driven by algorithmic trading, herd behavior, or reaction to domestic regulations and sentiment. Still, the impact of these trades cannot be understated.

Experts warn that if this pattern continues, Ripple’s price may become increasingly vulnerable to sudden swings triggered by movements on Upbit. This could discourage long-term holders and institutions looking for stability in crypto investments.

Nevertheless, XRP remains one of the most actively traded cryptocurrencies globally, with strong backing from both its community and enterprise adoption. Ripple Labs, the company behind XRP, continues to push forward with its real-world utility, particularly in cross-border payments and partnerships with traditional financial institutions. This utility offers a counterweight to market volatility, grounding XRP in practical application rather than pure speculation.

The Path Ahead: $150K Bitcoin, $3.50 XRP?

The broader crypto market is also watching Bitcoin's movement closely. With MicroStrategy recently adding $18 billion worth of Bitcoin in seven months, analysts are speculating whether BTC could hit the $150K mark in the coming cycle. A rising Bitcoin tide could potentially lift all ships, including XRP.

But for XRP specifically, all eyes remain fixed on the $3.12 resistance level. Should the token manage to break above this threshold, a new wave of bullish momentum could sweep in, pushing prices closer to their previous highs. However, investors must remain cautious, as renewed selling pressure from Upbit or macroeconomic uncertainties could trigger another reversal.

Final Thoughts: Watch South Korea Closely

South Korea’s role in the XRP ecosystem is no longer a footnote—it’s a defining factor. The recent selloff has demonstrated that price direction, at least in the short term, may lie in the hands of a specific group of traders thousands of miles away from the global market hubs.

As regulators, exchanges, and investors digest the implications, one thing is clear: decentralization is not just a technical goal but a market necessity. Until XRP trading becomes more balanced across regions and platforms, similar episodes of price manipulation or influence will likely persist.

For investors, this means staying informed, watching resistance and support levels closely, and understanding the geopolitical and cultural nuances that influence crypto trading behavior.

Writer @Ellena

Ellena is an experienced crypto writer who loves to explore the intersection of blockchain technology and financial markets. She regularly provides insights into the latest trends and innovations in the digital currency space.

 

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