South Korea’s benchmark stock index plunged nearly 10 percent on June 23, dragging Bitcoin below $63,000 and triggering more than $700 million in crypto liquidations. The selloff followed an admission by regulators that they had rushed approval of leveraged exchange-traded funds tied to major chipmakers.
South Korea’s KOSPI closed down 9.99 percent at 8,203.84, its steepest decline since March. Samsung Electronics and SK Hynix each fell more than 12 percent after Financial Supervisory Service Governor Lee Chan-jin said on June 22 that the regulator had acted too quickly in permitting the leveraged products launched in late May.
Bitcoin traded near $62,300 after touching an intraday low around $62,000, according to multiple market reports. Over 24 hours, exchanges liquidated approximately $714 million in crypto positions, with long traders accounting for the vast majority.
The broader retreat extended across Asia, with the MSCI Asia-Pacific index down about 2.9 percent and Japan’s Nikkei 225 falling roughly 3 percent. Selling in U.S. technology shares and expectations of sustained higher interest rates added to the pressure on risk assets.
Authorities in South Korea are now considering stabilization measures while U.S.-listed Bitcoin ETFs recorded net outflows of about $6.35 billion over the past 30 days.
