TLDR
- The Coinbase Premium surged to 0.18 on October 10, signaling strong institutional interest in Bitcoin.
- Despite a market panic sell-off, US investors are accumulating Bitcoin through Coinbase at lower prices.
- The Kimchi Premium reached its highest level since February 2025, reflecting strong retail demand in South Korea.
- Bitcoin’s price on South Korean exchanges is trading 7.47% higher than on Binance, indicating significant local interest.
- Historical patterns show that spikes in both premiums often precede market downturns, followed by a recovery in three to six months.
Recent surges in both the Coinbase Premium and Kimchi Premium have drawn attention amid the current market panic. Despite a significant sell-off, these indicators suggest a rise in investor interest. The Coinbase Premium measures US institutional demand, while the Kimchi Premium reflects retail buying pressure in South Korea.
Coinbase Premium Soars Amid Market Panic
The Coinbase Premium hit 0.18 on October 10, its highest level since March 2024. This spike, according to CryptoQuant data, suggests significant institutional accumulation of Bitcoin. Despite the market sell-off, analysts noted a strong buy signal from US investors using Coinbase.
“Bitcoin’s Coinbase Premium surged during the market crash, signaling that institutions were taking advantage of lower prices,” said CryptoOnchain, an analyst.
The high premium indicated that large entities were strategically purchasing Bitcoin as prices dipped. The analyst further explained that these institutions likely view this as an opportunity for future gains.
Following the spike, the Coinbase Premium decreased to 0.09, still the highest since June 2024. The continued high premium indicates that institutional investors remain strongly interested in Bitcoin. CryptoOnchain also highlighted that the $110,000 price point could serve as a solid support zone for future price movements.
Kimchi Premium Reflects Retail Sentiment in South Korea
In South Korea, the Kimchi Premium recently spiked to its highest level since February 2025. This indicator measures the price difference between Bitcoin on South Korean exchanges and global platforms. A high Kimchi Premium indicates strong retail interest in Bitcoin, particularly from Korean investors.
Brian HoonJong Paik, CEO of SmashFi, commented,
“Bitcoin on Bithumb is trading 7.47% higher than on Binance. This is insane.”
The rise in the Kimchi Premium signals growing retail demand for Bitcoin in South Korea, even amid global market uncertainty. It also suggests that local investors are seeking to capitalize on price discrepancies.
The Korea Kimchi premium is exploding.
Bitcoin on Bithumb is trading 7.47% higher than on Binance.
Insane. pic.twitter.com/jfX3DoTSVf— Brian HoonJong Paik (@brianhoonjong) October 10, 2025
This surge mirrors past patterns where high premiums in South Korea coincided with significant market volatility. The increase in the Kimchi Premium emphasizes the continued interest of South Korean retail investors in Bitcoin despite a broader market downturn.
Historical Patterns and Potential Future Trends
A closer look at the historical data shows that when both the Coinbase and Kimchi Premiums spike together, market downturns often follow. Similar surges occurred in March 2024 and February 2025, with the market declining after the premiums rose. These instances suggest that, while investor sentiment is currently high, a potential correction may follow.
In both past instances, it took three to six months for the market to recover after the premiums spiked. Investors now face a similar scenario, with both institutional and retail demand pushing Bitcoin’s price. However, experts caution that the market’s path will largely depend on global economic developments.
