Historically, when the Korea Premium index dips into negative territory at the start of bullish trends, it reflects caution among Korean traders due to past volatility shocks.
Conversely, sharp spikes in the Korea Premium signal peak FOMO and often coincide with local tops in the crypto market, preceding a major selloff.
The low Korea Premium reading indicates grounded sentiment and suggests that there is no irrational exuberance currently in the market.
The data implies that there may be more upside potential before a major correction, as historical peaks in the Korea Premium have been reliable warning signs of overheating, which is not the case currently.