 ▲ Upbit Morning on March 5 |
As easing global geopolitical tensions combine with massive institutional fund inflows, Bitcoin (BTC) is staging an unstoppable rally, surpassing 105 million won on domestic exchanges. Major altcoins, including XRP (Ripple), are also surging across the board, sending a strong bullish wave through the broader cryptocurrency market.
As of 7:43 a.m. on the 5th, according to Upbit, South Korea’s largest cryptocurrency exchange, Bitcoin was trading at 105.7 million won, up 5.41% from the previous day, showing strong buying momentum. Ethereum (ETH), the second-largest cryptocurrency by market capitalization, rose 6.14% to 3,092,000 won, while XRP climbed 4.25% to settle at 2,083 won. Other major tokens also posted gains, with Solana (SOL) at 132,500 won (up 3.84%) and Dogecoin (DOGE) at 145 won (up 9.02%), painting the market in broad gains.
The explosive rally is attributed to a sharp revival in risk appetite following the easing of tensions in the Middle East. Reports of behind-the-scenes negotiations between the United States and Iran have eased fears of further escalation, while stronger-than-expected U.S. private employment data for February released overnight reinforced confidence in a soft economic landing. This development moved in tandem with gains in the Nasdaq index and served as a powerful driver drawing substantial capital into the crypto market.
Structural factors within the cryptocurrency market have also fueled the rally. A short squeeze in the derivatives market, where large volumes of short positions betting on declines were liquidated, triggered explosive mechanical buying. Additionally, hundreds of millions of dollars in institutional funds have continued to pour into U.S. spot exchange-traded funds (ETFs), led by BlackRock’s IBIT, helping to build a solid support line even during recent corrections.
While the market outlook leans bullish, caution over short-term overheating remains. Bitcoin has swiftly broken through key psychological resistance levels, signaling the possible start of a new major uptrend. However, given the sharp rise in a short period, the possibility of profit-taking cannot be ruled out. On Upbit’s charts, a long bullish candlestick accompanied by strong trading volume has emerged, with a breakout above the short-term resistance level near 107 million won likely to serve as a key inflection point determining the next leg higher.
Experts expect the market to maintain a solid trend for the time being as continued institutional accumulation aligns with easing macroeconomic uncertainty. However, as seen on global market tracking sites, investor sentiment has yet to fully catch up with the pace of gains, suggesting that rather than chasing prices, a strategy focused on confirming the stability of key support levels is advisable.
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