On Sunday, Ethereum reached new regional all-time highs in Japan and South Korea. This is likely due to increased domestic demand rather than currency effects.
By Monday morning, ETH had slightly declined from its intraday high but remained above recent averages.
Yen and Won Price Surge
On August 10th, Ethereum briefly reached ¥639,455 in Japan according to CoinMarketCap data, surpassing the previous regional record of ¥632,954 set on December 17th, 2024.
At the time, ETH's dollar price was around $4,300, still 12% short of the $4,891 ATH from November 2021. However, the price of the second-largest cryptocurrency in yen terms has already broken records.
In South Korea, Ethereum reached ₩5,971,000 on August 10th according to Upbit exchange data, surpassing the previous regional high of ₩5.9 million from December 2021. This marked the highest won-denominated price in almost 3 years and 8 months.
Investors tracking only US dollar charts might miss important regional signals. Regional highs often first appear where currency trends and demand align.
Exchange Rate Effect? Unlikely
Non-dollar cryptocurrency price fluctuations are often related to exchange rate effects. However, in this case, that is unlikely. From the beginning of the year, the won-dollar exchange rate dropped from ₩1,476.23 to ₩1,388.77, and the yen-dollar rate fell from ¥157.33 to ¥147.65.
During this period, both currencies strengthened against the dollar. Typically, a strong local currency yields less profit when converted to dollars. However, Ethereum prices in South Korea and Japan rose more than the dollar price.
This suggests increased domestic demand in both markets. Trades in these countries' local exchanges occur in local currencies, and foreign investors cannot open accounts due to foreign exchange regulations.
The Japanese and South Korean public welcomed several catalysts supporting ETH price increases, including expanded corporate adoption beyond Bitcoin and a US presidential administrative order allowing cryptocurrency investments in 401(k) retirement plans. The SEC's withdrawal of the lawsuit against Ripple also boosted the broader altcoin market.
This rally was also supported by a surge in Ethereum purchases by listed US companies implementing the "Ethereum Treasury" strategy. This represents a systematic and strategic accumulation of ETH as corporate assets.
For example, Bitmain has now quickly accumulated 833,137 ETH in 35 days, holding over $2.9 billion in Ethereum. The company aims to control up to 5% of ETH's total supply through aggressive accumulation and strategic liquidity partnerships. This approach puts Bitmain ahead of its public company peers, solidifying its lead in institutional Ethereum holdings.
