Watch out for cryptocurrencies as South Korea defers crypto tax

cryptocurrencies

South Korea has decided to delay proposed cryptocurrency taxes until 2025. One reason for the decision was the country’s weak market conditions.

This is a significant move, considering South Korea is one the largest global cryptocurrency markets. It could lead to a positive price movement across all markets if the country sees increased demand for cryptocurrency.

It is now a big question: Which cryptocurrencies will be most affected by a spike in South Korean crypto demand?

Recent research from top cryptocurrency exchanges in South Korea shows that Bitcoin, XRP and Ethereum are the most used cryptocurrencies in the country. These cryptocurrencies will likely lead the way in terms of gains if there is an increase in demand for deferred taxes.

There are strong reasons to invest in any of these cryptocurrencies, despite the bad news from Korea. Here’s why.

Bitcoin (BTC).

Bitcoin bulls have held the price above $20k for the past two weeks. This suggests that Bitcoin could be near the bottom after a long-running selloff. Bitcoin could rise above $30k if news from Korea helps push Bitcoin past the $25k resistance in the coming months. At current prices, Bitcoin is a great investment.

XRP (XRP).

Ripple’s ongoing legal battle with the SEC has kept XRP from moving forward for a while. All indications suggest that the case will be resolved within the next year. If Ripple wins, and the market continues to rise, XRP could be the top cryptocurrency performer of the year.

Ethereum (ETH).

Following Bitcoin’s lead, Ethereum appears to be experiencing a rebound. Ethereum is seeing positive news this year, in addition to being lifted by the broader market dynamics. One of these is the news about Ethereum’s upgrade to Eth 2.0. The transition is nearly complete after two years of work. It also comes with many perks that could increase Ethereum’s value. These perks range from deflationary tokenomics and better scalability to make Ethereum appealing to developers.

Dogecoin (DOGE).

The meme coin king is very popular in Korea. This makes it a good reason for you to watch out in H2 2022. It responds well to hype. If Korean hype drives up its value and the wider market goes up DOGE could rally. Elon Musk is still a big fan of DOGE and remains one the most influential crypto-currency figures.

Cardano (ADA)

Cardano will likely see some Korean hype. However, that’s only a fraction of its potential. Cardano is among the most popular scaling platform blockchains on the market. Cardano’s adoption has increased significantly since smart contract functionality was introduced in 2021. Cardano’s bright future is easy to see when you combine these fundamentals with potential hype.